Mortgages - Maple Application Center

Mortgages

Author
: Douglas Lewit
Engineering software solutions from Maplesoft
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Consider the problem of borrowing $250,000 to buy a house.  You borrow the money at a fixed interest rate of 4.8% compounded monthly.  The term of the mortgage is for 20 years.  However, you decide against making minimum payments.  Instead you decide to pay an additional $200 every month.  How long will it take you to pay off the loan and how much have you saved on interest by paying off the loan early?

Application Details

Publish Date: January 11, 2013
Created In: Maple 16
Language: English

Tags

economics

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