Real Estate Math

A 30-year mortgage for $200,000 at 6% per year has a monthly payment of approximately $1,199. Over the life of the loan, the total amount paid is approximately:

AA. $231,640
BB. $311,640
CC. $431,640✓ Correct
DD. $200,000

Explanation

Total paid = $1,199 × 360 months = $431,640 approximately. The interest paid over 30 years is approximately $231,640, more than the original principal.

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