Question

A house is $299,000. You make a 20% down payment and interest payment is $692.68. How much of the first payment for the 30 year loan is interest?

Answer 1

Let's begin by listing out the information given to us:

Cost of house (C) = $299,000

Down payment (D) = 20% = 20% of $299,000

$\begin{gathered} D=\frac{30}{100}\cdot299000=89700 \\ D=89700 \end{gathered}$

D = $89,700

Interest payment (I) = $692.68

30 year loan = (30 * 12) = 360 payments