Your family is expanding in number, and so you decide to sell your current home and upgrade to a larger home. You estimate that you can sell your current home for $100,000 and can buy a larger home for $475,000. You plan to use the entire $100,000 sale proceeds as a down payment on the new home and will finance the remainder for 15 years at 4% nominal annual interest compounded monthly. What is your estimated monthly mortgage payment

The Estimated Monthly Mortgage Payment

=    $2,810.81

Explanation:

Data and Calculations:

House price = $475,000

Down payment = $100,000

Percentage of down payment = 21.05% ($100,000/$475,000 * 100)

Finance period = 15 years = 180 months (15 * 12)

Nominal annual interest compounded monthly = 4%

The estimated monthly mortgage payment using an online finance calculator:

Monthly Pay:   $2,810.81

House Price$475,000.00

Loan Amount$380,000.00

Down Payment$95,000.00

Total of 180 Mortgage Payments$505,946.54

Total Interest$125,946.54

Mortgage Payoff DateJan. 2036

for submitting your question to

the answer to your question is : c) a government agency or homeowner

due to his line of work, he is most likely employed by a government agency or homeowner due to the other choices not being logical haha.