Real Estate Math

A Maryland buyer gets a $320,000 mortgage at 6.5% annual interest. The first month's interest payment is:

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

Explanation

Monthly interest = $320,000 × (6.5% ÷ 12) = $320,000 × 0.005417 = $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 Maryland real estate exam.

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