Real Estate Math

A buyer in Washington puts 10% down on a $475,000 home and pays 0.5% monthly PMI on the loan balance. What is the first month's PMI?

A$178.13✓ Correct
B$213.75
C$237.50
D$356.25

Explanation

Down payment = $475,000 × 10% = $47,500. Loan = $427,500.

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