Alan and Richard bought a real estate property for $464,000 for
investment purposes. They paid a down payment of $
84,000
and
borrowed the remainder from a bank at 6.25
% APR. The mortgage
is
for 15 years and based on their research the property will
be worth
$1,250,000 at the end of the mortgage. Compute
the gain when
the
selling price is compared to the total down payment
and all of the
monthly payments, including interest?
