A property is avallable for sale that could normaliy be financed with a fully amortizing $80,600 ioan at a 10 percent rate with monthly payments over a 25 year ferm. Payments waild be $732.44 per morth. Fhe butifer is offering buyers a mortgage that reduces the payments by 50 percent for the first year and 25 percent for the second yoar. After the siecond year, regutar monthly. payments of $732.41 would be made for the remainder of the loan term. Pequtrod: a. How much would you expect the bulider to have to give the bank to buy down the payments as indicated? b. Would you recommend the property be purchased if it was selling for $5,000 more than similar properties that do not have the buydown avaltable