## A monthly fixed rate mortgage payment brainly

5. Assume that Jocelyn is comparing two fixed-rate loan options, a 15 year and a 30 year mortgage. Both options have the same interest rate and amount borrowed. The 30 year, when compared to the 15 year loan will have a 1)_____ monthly payment and a 2)_____ total cost when repayment is completed. But if you can qualify for a conventional mortgage and afford the down payment, this type of loan usually has the best rates and lower monthly payments. Conventional loans are typically offered by banks, private lenders, credit unions, or other private institutions, and an independent Lowering your monthly mortgage payment may be a lot easier than you realize. the average fixed 30-year mortgage had an attached rate of 3.45% compared to just 2.70% for a 15-year fixed-rate Once you have the monthly payment, you have all the info you need to solve the problem. Well monthly payments are calculated as if it were a full 30 year fixed mortgage. One way you can do this is with PMT function in excel where you would use PMT(.045 / 12, 30 * 12, 204000). This first is the interest rate divided into 12 months. The second is Find information and rates for 15, 20 and 30-year fixed-rate mortgages from Bank of America. With a fixed-rate mortgage, your monthly payment stays the same for the entire loan term. Find information and rates for 15, 20 and 30-year fixed-rate mortgages from Bank of America. As you can see in the illustration above, a 1 percent difference in mortgage rate on a \$200,000 home with a \$160,000 mortgage increases your monthly payment by almost \$100. Although the difference in monthly payment may not seem that extreme, the 1 percent higher rate means you’ll pay approximately \$30,000 more in interest over the 30-year term.

## Lowering your monthly mortgage payment may be a lot easier than you realize. the average fixed 30-year mortgage had an attached rate of 3.45% compared to just 2.70% for a 15-year fixed-rate

As you can see in the illustration above, a 1 percent difference in mortgage rate on a \$200,000 home with a \$160,000 mortgage increases your monthly payment by almost \$100. Although the difference in monthly payment may not seem that extreme, the 1 percent higher rate means you’ll pay approximately \$30,000 more in interest over the 30-year term. The fixed monthly payment for a fixed-rate mortgage is the amount paid by the borrower every month that ensures that the loan is paid off in full with interest at the end of its term. It has no impact because a fixed-rate mortgage cannot change. A balloon payment mortgage makes the best sense for borrowers who are planning on selling their homes before the term of the loan ends. You need a 15-year, fixed-rate mortgage to buy a new home for \$220,000. Your mortgage bank will lend you the money at a 9.1 percent APR for this 180-month loan. However, you can afford monthly payments of only \$800, so you offer to pay off any remaining loan balance at the end of the loan in the form of a single balloon payment. 5. Assume that Jocelyn is comparing two fixed-rate loan options, a 15 year and a 30 year mortgage. Both options have the same interest rate and amount borrowed. The 30 year, when compared to the 15 year loan will have a 1)_____ monthly payment and a 2)_____ total cost when repayment is completed.