5. [20 pts] Suppose you wanted to buy this home with 10% down, and, to lower mortgage costs, you chose to get unison.com as an equity investor to provide another 10% (for a total of 20% down and 80% mortgage). From your results in 4, create a frequency distribution of Unisons return, compute their expected return and standard deviation of returns, and estimate the probability that Unison will lose money. Do this for the cases that the homeowner will pay back Unison after 1, 2, ,10 years (i.e., only at yearly anniversaries).

6. [5 pts] Why do you think point.com computes appreciation from a risk-adjusted basis, that is smaller than the value of the home at origination, rather than the purchase price/valuation at origination?