# SOLUTION: Charles has a mortgage on his house, with principal \$103,500, at 6.75% per annum amortized over 25 years. The house is assessed at \$129,500, and the mill rate is 16.3081. Calcula

Algebra ->  Customizable Word Problem Solvers  -> Finance -> SOLUTION: Charles has a mortgage on his house, with principal \$103,500, at 6.75% per annum amortized over 25 years. The house is assessed at \$129,500, and the mill rate is 16.3081. Calcula      Log On

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 Question 394772: Charles has a mortgage on his house, with principal \$103,500, at 6.75% per annum amortized over 25 years. The house is assessed at \$129,500, and the mill rate is 16.3081. Calculate and list his monthly housing costs.Answer by ewatrrr(11176)   (Show Source): You can put this solution on YOUR website! ``` Hi, previously posted M = P [ i(1 + i)^n ] / [ (1 + i)^n - 1] Note: i = .0675/12 = .005625 and (1+i)^n = (1.005625)^300 = 5.38 M = 103500*.005625*5.38/ 4.38 = 715.10, is the mortagage payment Propery Tax = 16.3081*129500/1000 = 2111.90/yr OR 175.99/mo his monthly housing costs = M + PTax = 715.10 + 175.99 ```