I need some help understanding how peoplel pay for their houses!?

Question

Say a house is $500,000. is that what you need to pay a year? a month?

so what once you pay the $500,000 you can move in, then what do you pay? how much do you pay

Answer 1

umm.. you get a loan from a bank, then you pay the bank back very slowly and if you fail to do so they will take your house from you.. see

Answer 2

typically people borrow money via a loan called a mortgage. these generally range from 15 to 30 years at varying interest rates. for a 500k home you want to put at least 20% (100k) down and borrow the rest, you do this to get better interest rates and avoid something called mortgage insurance.

your payments plus interest are divided normally into equal monthly payments so in the example above with a 30 year loan you will pay 1/360th of the total each month