7.3A Mortgage Payments & Escrow Worksheet

1a. The Jacobs family is planning to buy a home. They have some money for a down payment already. They see a home they like and compute that they would need to borrow $213,000 from a bank over a 30-year period. The APR is 6.75%. What is the monthly payment?

• $2,130

• $1,381.51

• $2,295.16

• $3,004.84

1b. The Jacobs family is planning to buy a home. They have some money for a down payment already. They see a home they like and compute that they would need to borrow $213,000 from a bank over a 30-year period. The APR is 6.75%. What is the total of all of the monthly payments over the 30 years?

• $379,337.24

• $413,572.88

• $352,663.05

• $497,343.60

1c. The Jacobs family is planning to buy a home. They have some money for a down payment already. They see a home they like and compute that they would need to borrow $213,000 from a bank over a 30-year period. The APR is 6.75%. What is their total interest for the 30 years?

• $178,008.62

• $98,452.16

• $284,343.60

• $311,098.50

2a. Brandy has $150,000 left to pay on her current mortgage and is going to refinance to a lower interest rate and shorter term. The new APR is 3.75% and she is switching to a 15-year term. What is her new monthly payment?

• $972.14

• $1,243.89

• $1,090.83

• $1,513.65

2b. Brandy has $150,000 left to pay on her current mortgage and is going to refinance to a lower interest rate and shorter term. The new APR is 3.75% and she is switching to a 15-year term. What is the total of all of the monthly payments over the 15 years?

• $222,174.33

• $201,748.42

• $253,482.16

• $196,349.40

2c. Brandy has $150,000 left to pay on her current mortgage and is going to refinance to a lower interest rate and shorter term. The new APR is 3.75% and she is switching to a 15-year term. What is the total interest for the 15 years?

• $46,349.40

• $42,315.72

• $70,019.28

• $98,204.83

3. You are buying a home and need to borrow $80,000. Your local bank has an APR of 6% on new mortgages. You are debating on whether you should take out a 15 year loan or a 30 year loan. How much more are you paying in interest with a 30 year loan?

• $19,881.13 more

• $30,200.07 more

• $45,615.44 more

• $51,154.20 more

4. Calculate the monthly payment with escrow:

Monthly Mortgage Payment: $735

Semi – Annual Property Tax: $2,457

Annual Homeowners Insurance: $790

• $3,982

• $1,005.58

• $1,210.33

• $1,584.28

Tags

CCSS.7.RP.A.3

5. The bank requires that the Andrew’s pay their homeowner’s insurance, property tax, and mortgage in one monthly payment to the bank. If their monthly mortgage payment is $1,711.22, their semi-annual property tax is $3,239, and their annual homeowner’s insurance bill is $980, how much do they pay the bank each month?

• $2,332.72

• $5,930.22

• $2,062.81

• $1,845.38

Tags

CCSS.6.NS.B.3

6. Allison has a mortgage with North End Bank. The bank requires that she pay her homeowner’s insurance, property tax, and mortgage in one monthly payment. Her monthly mortgage payment is $1,390, her semi-annual property tax is $3,222, and her yearly homeowner’s insurance is $1,128. How much does Allison pay North End Bank each month?

• $2,021

• $5,740

• $1,753

• $3,001

Tags

CCSS.4.OA.A.3