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Let's analyze and solve the questions step by step based on the image provided.

1. **30-Year Loan Calculation:**
   - **Loan Amount:** $145,000
   - **Annual Interest Rate (APR):** 4.3% (0.043 as a decimal)
   - **Loan Term:** 30 years (360 months)

   To calculate the monthly payment, we use the standard mortgage payment formula:
   \[
   M = P \times \frac{r(1 + r)^n}{(1 + r)^n - 1}
   \]
   Where:
   - $M$ = monthly payment
   - $P$ = loan amount ($145,000)
   - $r$ = monthly interest rate (annual rate divided by 12) $= \frac{0.043}{12}$
   - $n$ = number of months (30 years = 360 months)

2. **How much would you end up paying over 30 years?**
   Multiply the monthly payment by the total number of months:
   \[
   \text{Total payment} = M \times 360
   \]

3. **Reducing Loan Time to 25 Years:**
   For the 25-year loan, the same formula applies, but now $n = 25 \times 12 = 300$ months. The monthly payment needs to be recalculated with the new $n$ value.

4. **How much would you pay over 25 years?**
   Multiply the new monthly payment by 300 months:
   \[
   \text{Total payment over 25 years} = M_{\text{25 years}} \times 300
   \]

5. **Savings by Reducing Loan Time:**
   Subtract the total amount paid for the 25-year loan from the total amount paid for the 30-year loan:
   \[
   \text{Savings} = \text{Total for 30 years} - \text{Total for 25 years}
   \]

Now, I will proceed to calculate these values for you.Here are the results based on the provided information:

1. **Monthly payment for the 30-year loan**: \$717.56
2. **Total amount paid over 30 years**: \$258,322.89
3. **Monthly payment for the 25-year loan**: \$789.59
4. **Total amount paid over 25 years**: \$236,875.60
5. **Savings by reducing the loan to 25 years**: \$21,447.29

Would you like further details or have any questions?

Here are some related questions:
1. How does changing the interest rate affect monthly payments?
2. How can making extra payments reduce the loan term?
3. What are the pros and cons of refinancing to a shorter term?
4. How do property taxes and insurance impact mortgage payments?
5. What are the tax benefits of paying mortgage interest?

**Tip**: Reducing the term of your loan saves money on interest, but the higher monthly payments may strain your budget, so plan accordingly.

Suppose you want to buy a $145,000 home. You found a bank that offers a 30-year loan at 4.3% APR. What will be your monthly payment? How much would you end up paying the bank after 30 years? Suppose you wanted to reduce the time of your loan to 25 years. What would be your new monthly payment? How much would you end up paying the bank for the home after 25 years? How much did you save by reducing the time of your mortgage loan?

Learn how to calculate the monthly mortgage payment for a $145,000 home with a 30-year loan at 4.3% APR, how much you would pay over 30 years, and how reducing the loan term to 25 years changes the monthly payments and overall savings.

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