Real Estate Math
An Illinois buyer's loan is $360,000 at 6.5% for 30 years. Using a payment factor of $6.32 per $1,000, what is the total interest paid over the life of the loan?
A$87,552
B$837,504
C$459,072✓ Correct
D$117,000
Explanation
Monthly payment = ($360,000 ÷ 1,000) × $6.32 = 360 × $6.
People Also Study
Related Illinois Questions
- A borrower obtains a 30-year fixed mortgage for $250,000 at 6% annual interest. Approximately how much total interest will be paid over the life of the loan?Finance
- A buyer qualifies for a maximum monthly PITI payment of $2,200. Property taxes are $300/month and homeowner's insurance is $100/month. At 7% for 30 years, the monthly principal and interest factor is $6.65 per $1,000 borrowed. What is the maximum loan amount?Real Estate Math
- A buyer takes out a 30-year, $250,000 mortgage at 6.5% annual interest. The monthly payment for principal and interest is $1,580.17. How much total interest will the buyer pay over 30 years?Real Estate Math
- In Illinois, an appraiser is estimating depreciation for a 15-year-old building with a total economic life of 60 years. What is the accrued depreciation percentage using the age-life method?Property Valuation
- An Illinois buyer gets a 30-year mortgage for $280,000 at 7% interest. The monthly payment factor per $1,000 at 7% for 30 years is $6.65. What is the monthly payment?Real Estate Math
- A Chicago condo has monthly HOA dues of $450 and annual property taxes of $7,200. The buyer takes a 30-year mortgage at 6.75% for $350,000. If the monthly P&I payment factor at 6.75% for 30 years is $6.49 per $1,000, what is the total monthly housing cost (PITI + HOA)?Real Estate Math
- An Illinois borrower's loan has an annual interest rate of 6% with a principal balance of $180,000. What is the monthly interest payment (interest-only)?Finance
- An Illinois mortgage has a 30-year term and a monthly payment of $1,432. Which statement accurately describes the amortization of this loan over time?Finance
Key Terms to Know
Net Operating Income (NOI)
The annual income generated by an income-producing property after subtracting operating expenses, but before debt service.
Discount PointsPrepaid interest paid to a lender at closing to reduce the mortgage interest rate, with each point equal to 1% of the loan amount.
AmortizationThe gradual repayment of a loan through scheduled periodic payments that cover both principal and interest.
Loan-to-Value Ratio (LTV)The ratio of a mortgage loan amount to the appraised value or purchase price of a property, expressed as a percentage.
Math Concepts
Study This Topic
Practice More Illinois Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Illinois Quiz →