142 Unit 2 Managing Your Money 2-6 Applications Name Many mortgage lenders offer a way to lower your interest rate by paying some of the interest up front. This prepaid interest is known in the industry as polnts. Each point corresponds to 1% of the amount borrowed. In short, you're paying a fee to lower your interest rate. The question is whether this is a good deal for you, or for the lender. Let's look into it. 1. A lender offers you a 30 year fixed mortgage of $130,000 at 4% interest with no points. Find the monthly payment. VO 2. You can get the same 30-year mortgage of $130,000 at 3.6% interest by paying 2 points at closing. How much would you have to come up with to cover the 2 points? els dit die dobro Lowongan 3. Find the new monthly payment. 4. How much are you saving each month with the new monthly payment? posodo molberta i sve do not so moest 5. How long will it take to recover the amount you had to come up with to pay the 2 points? What does this mean in terms 1920 of how long you should plan to stay in that home? woolri logo Coastal mode de ob op W. boot eller og in good bna 2 quil Soala mo o og Oles Towns 12222 RAIP Name 143 Lesson 2-6 Investing in Yourself end 2-6 Applications Uf you were to stay in that home long enough to pay off the hous, how much would the mortgage with points save you