1. Analyze a residential property using the following information:

Purchase price: $150,000

Real estate loan

o 85% loan to value

o 30 year amortization

o Interest rate 4%

o 3 points at closing

o Monthly interest payments

Settlement cost use table (1)

o Adjustments to table (1)

Purchase price

Deposit $5,000

Amount of loan

Prepaid interest: 10 days

Loan origination: 2% (same as points)

Loan discount: 1% (same as points)

Real estate brokerage fee: 5%

Redo table (1) using the latest information above

Redo table (2)

o Amount due from buyer

o Amount due to seller

o Assume information:

Payoff existing loan to be the same

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\begin{tabular}{|c|c|c|c|c|c|c|} \hline & A & B & c & D & E & F \\ \hline 30 & & & Table (2) & & & \\ \hline 31 & \multicolumn{3}{|c|}{ Settlement Statement - second part } & & & \\ \hline 32 & & \multicolumn{2}{|c|}{ 1. Amount Due from Buyer: } & & & \\ \hline 33 & & & (A) Purchase price & & & \\ \hline 34 & & & Plus settlement charges & 1,000.84 & & Given \\ \hline 35 & & & Less: Property tax proration & 181.24 & & Given \\ \hline 36 & & & Less: Earnest money & & & \\ \hline 37 & & & Less: Mortgage loan & & & \\ \hline 38 & & & Net amount due from buyer & & & \\ \hline \multicolumn{7}{|l|}{39} \\ \hline 40 & & \multicolumn{2}{|r|}{ Buyer's Share of Settlement Charges: } & & & \\ \hline 41 & & & Loan origination fee & - & \multirow{3}{*}{\begin{tabular}{l} equals \\ equals \end{tabular}} & D11 \\ \hline 42 & & & Loan discount fee & - & & D12 \\ \hline 43 & & & Appraisal fee & 125.00 & & Given \\ \hline 44 & & & Credit report & 45.00 & & Given \\ \hline 45 & & & Mortgage insurance application fee & 50.00 & & Given \\ \hline 46 & & & Interest & & & \\ \hline 47 & & & 2 months premium - escrow & 92.00 & & Given \\ \hline 48 & & & 2 months property tax-escrow & 132.84 & & Given \\ \hline 49 & & & Title insurance (lender) & 100.00 & & Given \\ \hline 50 & & & Recording fee & 31.00 & & Given \\ \hline 51 & & & Closing fee & 75.00 & & Given \\ \hline 52 & & & Title insurance (lender) & 350.00 & & Given \\ \hline 53 & & & Total & & & \\ \hline \multicolumn{7}{|l|}{54} \\ \hline 55 & & \multicolumn{2}{|r|}{ II. Amount Due to Seller: } & & & \\ \hline 56 & & & Sales price & & & \\ \hline 57 & & & Less: Property tax proration & 181.24 & & Given \\ \hline 58 & & & Less: Payoff of existing loan & 21,284.15 & & Given \\ \hline 59 & & & Less: Settlement charges & & & \\ \hline 60 & & & Net amount due to seller & & & \\ \hline \multicolumn{7}{|l|}{61} \\ \hline 62 & & \multicolumn{2}{|r|}{ * Seller's Share of Settlement Charges: } & & & \\ \hline 63 & & & Broker commission & 5.00 & & Given \\ \hline 64 & & & Recording fee & - & equals & D27 \\ \hline 65 & & & Total & & & \\ \hline \end{tabular}