An investor has $70,000 to invest in a $290,000 property. He / she can obtain either a $230,000 loan at 8.5% for 20 years (option A) or a $180,000 loan at 9% for 20 years and a second mortgage for $40,000 at 11% for 15 years. Both loans require monthly payments and are fully amortizing.

Based on the analysis what option should the investor choose, assuming ownership for the full loan term?

		option A
		option B
		explore other options
		none of the above