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11 points Save As Bob and Jane are considering buying a home valued at $425,000. The bank has offered them a 30-year mortgage loan
11 points Save As Bob and Jane are considering buying a home valued at $425,000. The bank has offered them a 30-year mortgage loan with monthly payments at a rate of 4.10%. The loan has a Joan-to-value of 80%. The loan carries 2 points. In addition, the borrower must pay the following origination fees: Appraisal: $500 Inspection: $360 Lender's Tie Policy: $260 Survey: $800 1.3 POINTS. Based on the above facts, if Bob and Jane believe they will relocate and sell the house in 8 years, how much will they owe the bank at that time? 2.4 POINTS. With respect to the above facts, what would the Lender's Yield be? 3.4 POINTS. With respect to the above facts, what would the Effective Borrowing Cost be? For the toolbar, press ALT+F10 (PC) or ALT-FN+F10 (Mack
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