The Down Payment

When you go to buy your first car or house you will most likely borrow money from the bank.  When you borrow money from the bank you have to pay the bank back.  You have to pay the bank a monthly payment. 

Do you think that your very first payment has to be larger than all the other payments?

Yes, the first payment has to be larger than all the other payments.

The first payment is called the down payment.

You need assets (money) to pay the down payment.

Esteban & Iko Salinas are trying to buy a house.  Look at their credit information.

They are offering $226,000 for the house.
The down payment is 10%.

To find out how much money 10% is you have multiply.

Change 10% to a decimal.  To change 10% to a decimal do the following.

Write 10% as a decimal. 10.0% Move the decimal two times to the left. .100

Use the computer calculator to multiply.

226000    times    .100        =     $22,600

Esteban and Iko have $23,278 in assets.

Do they have enough money to pay the down payment.

Yes, $23,278 is more than $22,600.

Here are several houses that you will need to find down payments for:

  Offer  $342,000    Down  15%    Assets $51,000

1. What is the offer?
2. What is the down payment percentage?
3. What is the down payment as a decimal?
4. What is the down payment in dollars?
5. How much do they have in assets?
6. Do they have enough to pay the down payment?

  Offer  $472,000    Down 5%    Assets $23,500

7. What is the offer?
8. What is the down payment percentage?
9. What is the down payment as a decimal?
10. What is the down payment in dollars?
11. How much do they have in assets?
12. Do they have enough to pay the down payment?

  Offer 192,000   Down 7%   Assets $14,000

13. What is the offer?
14. What is the down payment percentage?
15. What is the down payment as a decimal?
16. What is the down payment in dollars?
17. How much do they have in assets?
18. Do they have enough to pay the down payment?

  Offer $328,999    Down 20%    Assets $66,000

19. What is the offer?
20. What is the down payment percentage?
21. What is the down payment as a decimal?
22. What is the down payment in dollars?
23. How much do they have in assets?
24. Do they have enough to pay the down payment?

  Offer $1,250,000    Down 18%    Assets $245,000

25. What is the offer?
26. What is the down payment percentage?
27. What is the down payment as a decimal?
28. What is the down payment in dollars?
29. How much do they have in assets?
30. Do they have enough to pay the down payment?

  Offer  $77,777    Down 4%    Assets    $7,777

31. What is the offer?
32. What is the down payment percentage?
33. What is the down payment as a decimal?
34. What is the down payment in dollars?
35. How much do they have in assets?
36. Do they have enough to pay the down payment?

  Offer  $2,450,000    Down 9%    Assets $450,000

37. What is the offer?
38. What is the down payment percentage?
39. What is the down payment as a decimal?
40. What is the down payment in dollars?
41. How much do they have in assets?
42. Do they have enough to pay the down payment?

  Offer $7.99    Down 10%    Assets $.25

43. What is the offer?
44. What is the down payment percentage?
45. What is the down payment as a decimal?
46. What is the down payment in dollars?
47. How much do they have in assets?
48. Do they have enough to pay the down payment?

  Offer $25,000,000    Down 12%    Assets $2,250,000

49. What is the offer?
50. What is the down payment percentage?
51. What is the down payment as a decimal?
52. What is the down payment in dollars?
53. How much do they have in assets?
54. Do they have enough to pay the down payment?

  Offer $450,000    Down 11%    Assets $46,000

55. What is the offer?
56. What is the down payment percentage?
57. What is the down payment as a decimal?
58. What is the down payment in dollars?
59. How much do they have in assets?
60. Do they have enough to pay the down payment?

  Offer $724,000    Down 6%    Assets $75,000

61. What is the offer?
62. What is the down payment percentage?
63. What is the down payment as a decimal?
64. What is the down payment in dollars?
65. How much do they have in assets?
66. Do they have enough to pay the down payment?

  Offer $396,000   Down 2%    Assets $8,000

67. What is the offer?
68. What is the down payment percentage?
69. What is the down payment as a decimal?
70. What is the down payment in dollars?
71. How much do they have in assets?
72. Do they have enough to pay the down payment?

  Offer $496,000    Down 13%    Assets $64,400

73. What is the offer?
74. What is the down payment percentage?
75. What is the down payment as a decimal?
76. What is the down payment in dollars?
77. How much do they have in assets?
78. Do they have enough to pay the down payment?

  Offer  $49.99    Down 5%    Assets $250

79. What is the offer?
80. What is the down payment percentage?
81. What is the down payment as a decimal?
82. What is the down payment in dollars?
83. How much do they have in assets?
84. Do they have enough to pay the down payment?

  Offer $249.49    Down 25%    Assets $50

85. What is the offer?
86. What is the down payment percentage?
87. What is the down payment as a decimal?
88. What is the down payment in dollars?
89. How much do they have in assets?
90. Do they have enough to pay the down payment?

Building it with Dad (Priceless)

  Offer  $93,000    Down 4%    Assets $3,700

91. What is the offer?
92. What is the down payment percentage?
93. What is the down payment as a decimal?
94. What is the down payment in dollars?
95. How much do they have in assets?
96. Do they have enough to pay the down payment?

97.  What are assets?
98.  What is a down payment?