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A borrower would like to borrower $60,000 to finance a property for 30 years at 12% interest. However, he will only hold this investment for

A borrower would like to borrower $60,000 to finance a property for 30 years at 12% interest. However, he will only hold this investment for 5 years. The lender indicates that loan fees (origination and discount points) equal to 3% of the loan amount will be charged to obtain the loan. What is the effective borrowing cost for this loan?

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