you want to buy a $203,000 home. You plan to pay 10% as a down payment, and take out a 30 year loan for the rest. the loan amount is 182700.    what will monthly payments be if interest rate is at 7%

To calculate the monthly payments for a home loan, we can use the **loan amortization formula**:

\[
M = \frac{P \cdot r \cdot (1 + r)^n}{(1 + r)^n - 1}
\]

Where:
- $ M $ = monthly payment
- $ P $ = loan amount ($182,700 in this case)
- $ r $ = monthly interest rate (annual rate divided by 12)
- $ n $ = number of payments (loan term in months, for 30 years that would be 360 months)

Given:
- Loan amount $ P = 182,700 $
- Annual interest rate = 7%, so the monthly rate $ r = \frac{7\%}{12} = 0.07/12 $
- Loan term = 30 years, or $ n = 360 $ months

Let's calculate the monthly payment.The monthly payment for the loan will be approximately **$1,215.51**.

Would you like further details or have any questions?

Here are 5 related questions to explore:
1. What is the total amount paid over the life of the loan?
2. How much interest will be paid over the 30 years?
3. How does changing the interest rate affect the monthly payment?
4. What would the payment be for a 15-year loan instead of a 30-year loan?
5. How does the size of the down payment affect the loan terms?

**Tip:** Making extra payments can significantly reduce the total interest paid over the life of a loan!

you want to buy a $203,000 home. You plan to pay 10% as a down payment, and take out a 30 year loan for the rest. the loan amount is 182700. what will monthly payments be if interest rate is at 7%

Learn how to calculate the monthly payments for a $182,700 home loan with a 7% annual interest rate over 30 years. This example uses the loan amortization formula and explains key concepts such as interest rates and amortization, suitable for students in Grades 10-12.

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