Real Estate Math
A home sells for $525,000. The buyer pays a 20% down payment and finances the rest. The lender charges 1.5 discount points on the loan. How much will the buyer pay in discount points?
A$1,260
B$6,300✓ Correct
C$7,875
D$15,750
Explanation
Loan amount = $525,000 × 80% = $420,000. Each point = 1% of the loan.
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