Prepare an amortization table for a 30-year mortgage where the homeowner is borrowing $170,000
- Prepare an amortization table for a 30-year mortgage where the
homeowner is borrowing $170,000 at a 3.75% interest rate. In
addition to the monthly table, provide a summary table showing the
interest paid, principal paid, and ending balance on a yearly
basis. Create three separate graphs illustrating interest paid over
time, principal paid over time, and ending balance over time for
the 30 annual periods in the summary table.
- Repeat the analysis, changing the interest rate to 8.75% and
comment (briefly) on the impact of mortgage rates on home
affordability.
