Say that you purchase a house for $320,000 by getting a mortgage for $280,000 and paying a $40,000 down payment. If you get a 30-year mortgage with a 8 percent interest rate, what are the monthly payments? (Do not round intermediate calculations and round your final answer to 2 decimal places.)
What would the loan balance be in ten years? (Round the payment amount to the nearest cent but do not round any other interim calculations. Round your final answer to 2 decimal places.)
If the house appreciates at 4 percent per year, what will be the value of the house in ten years? (Do not round intermediate calculations and round your final answer to 2 decimal places.)
How much of this value is your equity? (Do not round intermediate calculations and round your final answer to 2 decimal places.)