Real Estate Math

An Iowa buyer finances $225,000 at 5% for 30 years. Using a payment factor of $5.37 per $1,000, what is the monthly P&I?

A$1,156.25
B$1,208.25✓ Correct
C$1,234.50
D$1,288.50

Explanation

Monthly P&I = (225,000 ÷ 1,000) × $5.37 = 225 × $5.

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