A couple purchased a home 20 years ago for $200,000. The home was financed by paying 10% down and signing a 30-year mortgage at 12% compounded monthly on the unpaid balance. The net market value of the home is now $2,500,000, and the couple wishes to sell the house. (c) How much equity does the couple have in the house after making 24 years of payments?

A couple purchased a home 20 years ago for $200,000. The home was financed by paying 10% down and signing a 30-year mortgage at 12% compounded monthly on the unpaid balance. The net market value of the home is now $2,500,000, and the couple wishes to sell the house. (c) How much equity does the couple have in the house after making 24 years of payments?

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter8: Taxation Of Individuals

Section: Chapter Questions

Problem 38P

See similar textbooks

Similar questions

A couple purchased a home 20 years ago for $200,000. The home was financed by paying 10% down andsigning a 30-year mortgage at 12% compounded monthly on the unpaid balance. The net market value of thehome is now $2,500,000, and the couple wishes to sell the house.(a) How much was the monthly loan payment?
A couple wishes to borrow money using the equity in their home for collateral. A loan company will loan them up to 70% of their equity. They purchased the home 11 years ago for 68,158. The home was financed by paying 15% down and signing a 30-year mortgage at 9.3% on the unpaid balance. Equal monthly payments were made to amortize the loan over the 30-year period. The net market value of the house is now $100,000. After their 132nd payment they applied to the loan company for the maximum loan. How much ( to the nearest dollar) will they receive? Amount of the loan ____
A couple purchased a home 20 years ago for $200,000. The home was financed by paying 10% down andsigning a 30-year mortgage at 12% compounded monthly on the unpaid balance. The net market value of thehome is now $2,500,000, and the couple wishes to sell the house.(b) Construct an amortization schedule for the first two payments
A couple wishes to borrow money using the equity in their home for collateral. A loan company will loan them up to 70% of their equity. They puchased their home 9 years ago for $64,386. The home was financed by paying 10% down and signing a 30-year mortgage at 9.6% on the unpaid balance. Equal monthly payments were made to amortize the loan over the 30-year period. The net market value of the house is now $100,000. After making their 108th payment, they applied to the loan company for the maximum loan. How much (to the nearest dollar) will they receive? Amount of loan: $ (Round to the nearest dollar.)
A couple wishes to borrow money using the equity in their home for collateral. A loan company will loan them up to 70% of their equity. They puchased their home 10 years ago for $61,760. The home was financed by paying 20% down and signing a 30-year mortgage at 8.1% on the unpaid balance. Equal monthly payments were made to amortize the loan over the 30-year period. The net market value of the house is now $100,000. After making their 120th payment, they applied to the loan company for the maximum loan. How much (to the nearest dollar) will they receive?
Please help me correctly. Theresa and Raul purchased a house 10 years ago for $220,000. They made a down payment of 20% of the purchase price and secured a 30 year conventional home mortgage at 4.5% per year compounded monthly on the unpaid balance. The house is now worth $280,000. How much equity do Teresa and Raul have in their house now?.
A couple wishes to borrow money using the equity in their home for collateral. A loan company will loan them up to 70% of their equity. They puchased their home 13 years ago for $64,875. The home was financed by paying 15% down and signing a 30-year mortgage at 8.1% on the unpaid balance. Equal monthly payments were made to amortize the loan over the 30-year period. The net market value of the house is now $100,000. After making their 156th payment, they applied to the loan company for the maximum loan. How much (to the nearest dollar) will they receive? Amount of loan: $ (Round to the nearest dollar.) View an example Get more help - Clear all Check answer Help me solve this B no in tv N AA 6,283 JAN 19
A couple wishes to borrow money using the equity in their home for collateral. A loan company will loan them up to 70% of their equity. They puchased their home 13 years ago for $61,752. The home was financed by paying 10% down and signing a 15-year mortgage at 8.4% on the unpaid balance. Equal monthly payments were made to amortize the loan over the 15-year period. The net market value of the house is now $100,000, After making their 156th payment, they applied to the loan company for the maximum loan. How much (to the nearest dolar) will they receive? Amount of loan: $(Round to the nearest dollar)
Alex and Steve bought their current house 10 years ago for $355,000 and made a down payment of $45,000. They obtained a 25-year mortgage for the remaining amount at 6% APR with quarterly compounding and constant monthly payments. They just sold their house for $550,000. They will now buy a new house. How much of a down payment can they afford to make on their new house? a) $244,012.30 b) $288,000.44 c) $314,187.30 d) $450,000.00 e) $374,562.62
Mr. and Mrs. Smith have just purchased a $600,000 house and have made a down payment of$120,000. They can amortize the balance at 4% for 30 years. Using Excel, calculate equity they have in their house (that is, what is the sum of the down payment and amount paid on the loan) after 20 years?
The Rodriquez family is determined to purchase a $250,000 home without incurring any debt. The family plans to save $2,500 a quarter for this purpose and expects to earn APR of 7.65 percent. How long will it be until the family can purchase a home? 13.45 years 14.11 years 14.85 years 59.39 years 56.43 years
A couple wishes to borrow money using the equity in their home for collateral. A loan company will loan them up to 70% of their equity. They puchased their home 9 years ago for $63,381. The home was financed by paying 20% down and signing a 15-year mortgage at 8.7% on the unpaid balance. Equal monthly payments were made to amortize the loan over the 15-year period. The net market value of the house is now $100,000. After making their 108th payment, they applied to the loan company for the maximum loan. How much (to the nearest dollar) will they receive? Amount of loan: $ (Round to the nearest dollar.)