Real Estate Math

An Oregon property sold for $580,000. The buyer obtained a loan for 80% of the purchase price. Points charged were 1.5% of the loan amount, plus a $1,200 origination fee. What were the total loan-related upfront costs?

A$8,160✓ Correct
B$6,960
C$9,360
D$7,760

Explanation

Loan amount = $580,000 × 0.80 = $464,000.

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