Finance
A buyer secures a $200,000 mortgage at 6% interest. What is the monthly interest for the first payment?
A$833
B$1,000✓ Correct
C$1,200
D$1,500
Explanation
Monthly interest = Principal × Annual rate ÷ 12 = $200,000 × 0.06 ÷ 12 = $12,000 ÷ 12 = $1,000. To solve this, multiply the relevant values: $200,000 at 6%.. The correct answer is $1,000.. This is a common calculation on the Louisiana real estate exam.
Related Louisiana Finance Questions
- What is 'negative amortization' in mortgage lending?
- The 'Good Faith Estimate' (now replaced by the 'Loan Estimate') was designed to:
- A USDA Rural Development loan is designed for buyers in:
- A 'due-on-sale' clause in a Louisiana mortgage requires:
- Which federal agency insures FHA loans?
- In Louisiana, a 'short sale' occurs when:
- A 'construction loan' in Louisiana is typically characterized by:
- A 'judicial mortgage' in Louisiana arises from:
Practice More Louisiana Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Louisiana Quiz →