Giselle wants to buy a condo that has a purchase price of $163,000. giselle earns $2,986 a month and wants to spend no more than
25% of her income on her mortgage payment. she has saved up $33,000 for a down payment. giselle is considering the following loan option: 20% down, 30 year at a fixed rate of 6.25%. what modification can be made to this loan to make it a viable option, given giselle’s situation?
The condo costs $163,000, earns $2,986 per month, spends no more than 25% of her income, then if she pays $33,000 for the down payment, the remaining amount would be $130,000. Since 20% of the initial cost is only $32,600, she can adjust her down payment to 20.25% of the initial cost so that the annual payments would be less.
Because Julio knows the volume of water in the graduated cylinder, by dropping the pebble in, he can record the new volume of both the water and pebble. Subtracting the volume of the water from the volume of both will leave him with the volume of the pebble. This technique is water displacement.