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15 October, 13:42

Larry took out an 80/20 mortgage on a $225,000 home. What is the amount financed under the first mortgage? A.$45,000 B.$180,000 C.$164,000 D.$225,000

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  1. 15 October, 15:05
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    An 80/20 payment means 80% will be paid as mortgage and 20% will be the piggyback loan. Therefore, the mortgage will be:

    0.8 x 225,000

    = $180,000

    The answer is B.
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