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kenbaby

  • 2 years ago

Please Help! Lucy is financing $370,000 to purchase a house. How much money will she save over the life of a 30-year, fixed-rate loan by buying 3 points with a rate of 6.175% instead of not buying points with a rate of 6.55%? $21,548.40 $14,364.84 $3,264.84 $32,648.40

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  1. whpalmer4
    • 2 years ago
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    Figure out the monthly payment for each loan. Sum up 30 years of such payments (360 months). To the loan with points, add 3% of 370000. Find the difference between the two totals.

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