Pre-Calc Finance Project
Sebastian McCarty Hour 1
Jenny
Logistics
Salary: $30,000
Student Loans: $20,000
Car Payment: $400 per month
After she takes 30% of her salary for taxes she's left with: $21,000
Per-Month Spending: $1,750
Student Loan
Monthly Budget
Student Loan: $230.16
Car Insurance: $83.33
Food: $289.56
Gas/Transportation: $460
Entertainment/Other/Netflix: $108
Cell-Phone: $75
Utilities: $160
Total Monthly Expenses: $1,406.05
Budget Left For House: $343.95
What Jenny Can Afford For A House
Jenny can afford a house that is worth $70,971.27.
Jenny found a beautiful, sufficient house that is only worth $53,500. With the house being cheaper than what she can actually afford, she will have a good amount of money left over.
Monthly House Payment/Interest
With the house being $53,500 and paying it off over the course of 30 years, Jenny will have a monthly house payment of $259.28.
However with an interest rate of 4.125%, over time she will actually pay $93,340.80. A difference of $38,340.80 from the original cost.
Monthly Payment Increase of 15%
Jenny's new monthly payment will be $298.17.
With an increase of $38.89 towards the monthly payment, Jenny will be able to pay off the house in 11 years and 8 months instead of 30 years.
The total difference in the amount paid would be: $51,595.81.
Works Cited
Average Food Cost Per Month For 1 Person. (n.d.). Retrieved December 10, 2015, from http://loweryourspending.com/average-food-cost-per-month-for-1-person.html
Create a Pie Chart. (n.d.). Retrieved December 10, 2015, from https://www.meta-chart.com/pie
Kansas Car Insurance. (n.d.). Retrieved December 10, 2015, from http://www.carinsurance.com/state/Kansas-car-insurance.aspx
Overland Park KS Real Estate Zillow. (2015, November 21). Retrieved December 10, 2015, from http://www.zillow.com/homes/for_sale/Overland-Park-KS/
Today's Mortgage Rates and Refinance Rates. (2015, December 9). Retrieved December 10, 2015, from https://www.wellsfargo.com/mortgage/rates/
Vuoi vendicarti? Usa Facebook. (2012, May 21). Retrieved December 10, 2015, from http://www.notizieshock.net/vuoi-vendicarti-usa-facebook/
Writer, S. (2011, April 20). Average Utility Costs Per Month: What’s Normal? Retrieved December 10, 2015, from http://ohmyapt.apartmentratings.com/breaking-down-the-average-utility-costs-per-month-whats-normal.html