Pre-Calc Finance Project

Isaac Brinkman Hr.3

Brent earns an annual salary of $60,000. He has a car payment of $450.00 each month. He wants to buy his first home.

  • He can afford $854 a month after taxes and his car payments because home owners should spend no more than 28% of their monthly take home.
  • He can afford to borrow $167562.52 If he makes payments of $854 at a 4.55% 30 year fixed rate mortgage.
  • If Brent chose a nice house in Olathe for $157,000 his minimum monthly payment would be $720.15 after paying the 10% down payment.
  • If Brent decided to pay 15%, $108.03, more every month he would save $31,434.32 and pay off his loan 7 years earlier.

APA Citaitions