# Pre- Calc Project

## Scenario 2

Harper earned her bachelor’s degree in business two years ago. She is now 25 and is managing a retail store. Her annual salary is \$70,000. She has \$35,000 in student loans, and also has a car payment of \$325 per month. She wants to buy her first home in the next few months.

## Monthly Amount

My Monthly income \$5,384, after \$420 is taken out of my monthly income for taxes I am left with \$4,964.

Rationale:

School Loan Per Month: \$291.67

Car Payment- \$325

Car Insurance- \$150

Gas (for car)- \$150

Utilities - \$300

Food- \$300

Cell Phone- \$150

Internet- \$60

Credit Card- \$100

Health Insurance- \$200

Miscellaneous- \$400

Mortgage-\$1142

After all my expenses have been paid I am still left with \$1395.33

## My First HOME!

I am purchasing a 4 Bedroom, 3.5 Bathroom home, that is located on

8525 W 90th St, Overland Park, KS 66212. The home is worth \$199,950. The minimum monthly mortgage on the house is \$1,142 Which includes Taxes, Homeowners Insurance and P&I. I am putting \$39,990 down, as a 20% down payment. I have a 30 year fixed rate loan of 4.625%.

## 15% more

For the minimum mortgage on my house right now not including Taxes, Homeowners Insurance and P&I, totals \$823 monthly. If you multiply 823 times .15 you get \$123.45, which is 15% of the minimum amount. Using the equation below I found that if I paid \$123.45 more each month totaling \$946.45, I would be saving myself ~3.7 or 4 years off of my 30 year fixed loan.

## APA Format

Rozz, T. (2011, December 8). Beginning: 1979 [Monograph]. Retrieved from

(2013, December 18) Zillow, Retrieved from http://www.zillow.com/homedetails/8525-W-90th-St-Overland-Park-KS-66212/75676408_zpid/