7. You are buying a home and have 2 options. Think back to 1b Option 1: Loan amount of $176,000 at 6.5% for 30-years with 2 points paid up front at closing. Option 2: Loan amount of $176,000 at 5.5% for 30 years with 4 points paid up front at closing. Answer the following: a. Find the monthly payment for the 5.5% loan. _(4 points) b. What is the difference in the 2 payments? (You already found the 6.5% PMT in 1b) (2 points) c. What would the 2 points cost? (2 points) d. What would the 4 points cost? (2 points) e. What is the savings (difference) of the 2 points over the 4-point option? (2 points) f. How long would it take to make up for the added up-front cost? (2 points) 8. What is your conclusion about these options? (be specific) - (2 points)