To calculate the monthly repayments for the loan, we use the following formula for a fixed-rate mortgage:

$M = P \frac{r(1+r)^n}{(1+r)^n - 1}$

Where:

• $M$ is the monthly repayment.
• $P$ is the principal loan amount.
• $r$ is the monthly interest rate.
• $n$ is the number of monthly payments (loan term in months).

Step 1: Calculate the principal loan amount $P$.

The property is valued at $1.5 million, and the buyer has $200,000 for a deposit. The loan amount is:

$P = 1,500,000 - 200,000 = 1,300,000$

Step 2: Convert the annual interest rate to a monthly interest rate.

The annual interest rate is 2.45%, so the monthly interest rate is:

$r = \frac{2.45}{100 \times 12} = 0.00204167$

Step 3: Calculate the total number of monthly payments.

The loan term is 25 years, so the total number of monthly payments is:

$n = 25 \times 12 = 300$

Step 4: Apply the mortgage formula.

Now we can calculate the monthly repayment:

$M = 1,300,000 \times \frac{0.00204167 \times (1 + 0.00204167)^{300}}{(1 + 0.00204167)^{300} - 1}$

Let me calculate that for you.The monthly repayment is approximately 5799.34 dollars.

Would you like more details or have any questions?

Here are five related questions:

1. How does an increase in the interest rate affect monthly repayments?
2. What would the monthly repayment be if the loan term was 30 years instead of 25?
3. How is the total amount of interest paid over the loan term calculated?
4. What happens if the borrower makes an additional payment each month?
5. How does a down payment affect the mortgage loan amount?

Tip: A longer loan term reduces monthly payments but increases the total interest paid.