Real Estate Math

A mortgage loan of $320,000 at 6.5% annual interest. What is the monthly interest for the first payment?

A$1,600
B$1,733✓ Correct
C$2,080
D$2,600

Explanation

Monthly interest = $320,000 × (0.065 ÷ 12) = $320,000 × 0.005417 = $1,733.33 ≈ $1,733. To solve this, multiply the relevant values: $320,000 at 6.5%.. The correct answer is $1,733.. This is a common calculation on the Alaska real estate exam.

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