Monday, July 23rd 2018


How to finance a house?

Interesting Question?   (6)   (7)

Answers (1)

21st Nov 2009 by cocacolabuffet

The most common way to finance a house purchase is by taking a mortgage loan. Financial institutions such as banks, credit unions, mortgage companies are examples of the most common lenders. Most lenders require 20% of the price of the house as downpayment. Currently, Federal Housing Administration and other financing programs made available by the government allows 3.5% downpayment for qualified buyers. The loan amount is charged an interest rate, e.g. 5% of the remaining loan balance per annum.

The rest of loan amount is paid in periodic payments called mortgage payments or instalments. The payment will include interest payment and payment toward the principal balance. Generally, the payment is made monthly.

Like This Answer?   (0)   (0)
This answer is the subjective opinion of the writer and not of

21st Oct 2009 In Finance 1 Answers | 535 Views

Answer This Question / Give Your Opinion
How to finance a house?

Answer: *

What country is this answer relevent to? *
Your Name: *

Enter Verification Number: *

Give Your Opinion
What Insurance products and services do Suncorp provide in Australia?
Share a simple answer to help inform others:
Specific to any country?
First name / Alias

• Your answer will be posted here:
What Insurance products and services do Suncorp provide in Australia?
Unanswered Questions in Finance
What is the role of equity accounts in raising capital?
What is a commercial loan?
What is interest rate financing?
How to finance a loan?
Can i use a student loan to buy a car?

Answered Questions in Finance
How to raise start up capital?
What is equity financing?
What is refinancing a loan?
What is a subsidised loan?
Compare credit card vs debit card?
Ask A Question
Get opinions on what you want to know:
Specific to any country?