read the scenario. jay and laura have been dreaming of purchasing their first home together. theyve been…

read the scenario. jay and laura have been dreaming of purchasing their first home together. theyve been diligently saving and have managed to accumulate a significant sum for a down - payment. how does their decision to make a larger down payment benefit their financial situation as they purchase a home? it increases the interest rate on the loan. it decreases their credit score. it increases the homes value. it decreases their monthly payment.

read the scenario. jay and laura have been dreaming of purchasing their first home together. theyve been diligently saving and have managed to accumulate a significant sum for a down - payment. how does their decision to make a larger down payment benefit their financial situation as they purchase a home? it increases the interest rate on the loan. it decreases their credit score. it increases the homes value. it decreases their monthly payment.

Answer

Brief Explanations:

A larger down - payment means less money is borrowed. With a smaller loan amount, the monthly payment (calculated based on the loan amount, interest rate, and loan term) will be lower. A down - payment doesn't affect the interest rate on the loan directly, doesn't decrease credit score, and doesn't increase the home's value.

Answer:

It decreases their monthly payment.