Real Estate Math

What is the monthly principal and interest payment on a $260,000 loan at 6.5% for 30 years? (Use factor of $6.32 per $1,000 borrowed.)

A$1,540.80
B$1,643.20✓ Correct
C$1,408.00
D$1,722.00

Explanation

Monthly payment = (Loan amount / 1,000) × Factor = (260,000 / 1,000) × $6.32 = 260 × $6.32 = $1,643.20.

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