Create an application in Visual Basics that will estimate a buyer\'s closing cos

Question

Create an application in Visual Basics that will estimate a buyer's closing costs and payment amount for the purchase of a home.

a. Enter a purchase price of 100000 and an interest rate of 0.03, and then click the calculate button, the output for the monthly payment should be $612.28.

b. the end user inputs consists of the home purchase price and the annual interest rate expressed a floating-point values. That is, a value of 0.07 represents a 7% interest rate. The following list describes the computations your code must perform to calculate the output values:

The down payment is 20%

The closing costs are 2.5%

Cash required to close the loan is equal to the down payment plus the closing costs.

Principal and interest can be computed by calling the PMT function. Assume that the term of the loan is 30 years or 360 months

Property taxes are 2.5% of purchase price per year. The value displayed on the form should be expressed in months.

Homeowner's insurance is 0.8% of the purchase price per year. This value should also be expressed in months.

The monthly payment is equal to the sum of the principal and interest, property taxes, and homeowner's insurance

Write the statements to enable strict type checking and explicit variable declaration.

Declare the necessary local variables to store the input and any intermediate values.

Declare constants to store the percentages for the down payment, closing costs, property taxes, and homeonwner's insurance. Declare other constants, as necessary.

Create the Calculate button and the code to calculate all of the output values using the rules defined in the preceding list. Display the output formatted as currency with two decimal places. To calculate the payment (principal and interest), use the PMT function, which has the following syntax:

PMT(rate, nper, pv [, fv [, type ] ] )

The rate argument contains the interest rate of a loan. The nper argument contains the number of periods of the loan. The pv and fv arguments contain the starting and ending value of a loan. A loan that is paid off has an ending value of zero. The type argument indicates whether payments are made at the start or end of the period.

Explanation / Answer

Calculate your down payment. This will be determined by how much money you have to put down and what kind of loan you get. Some loans require a 20% down payment, while others will allow you to put down much less.[1] Shop around for a loan that will work well with the amount of money you have to put down.

Ask about the fees associated with the title company. The title company makes sure that there are no other claims on the property and title insurance protects the lender against any future legal problems.[4] It helps to ensure that the title to your property is free and clear at the time of the sale. The cost for these services vary by location and company. On a $100,000 loan, the title company could charge anywhere between $175 to $900 dollars, if not more.

Determine what your lender will charge for an origination fee. This pays for the time and effort involved in gathering and consolidating the paperwork and supporting documentation, as well as for creating a client file.

Find out if your lender will charge you for the credit report they run on you. Some lenders may charge you for fees incurred in pulling your credit report from the three major reporting bureaus.

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