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Social ScienceWhat mortgage would result in a higher payment? Mortgage A $985 a month for 30 years or Mortgage B $780 a month for 5 years and $1,056 a month for 25 years?
What mortgage would result in a higher payment? Mortgage A $985 a month for 30 years or Mortgage B $780 a month for 5 years and $1,056 a month for 25 years?
Expert Answer
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Total paym ents Monthly mortgage paym ents x Peri od = S985x (30x12) = $985x360 $129,600
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Total payments = Monthly mortgage payments x Period (S780x (5x12))+(S1,056x (25 x12)) $46,800+$316, 800 -$363, 600
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