A home purchaser need to borrow $300,000 to finance their new home. The buyer believes they will live in the house for approximately 6 years. The buyer is offered two mortgage options. The first loan is at a rate of 2.875% with the payment of $245 in points. The second loan is at a rate of 2.5% with the payment of $5747 in points. Both loans are 30 year fully amortizing loans with monthly payments. What is the effective rate on the first loan if it is held for 6 years? Multiple Choice 2.625% 2.875% 2.8909% 3.3333%