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Any residential mortgage must contain two elements, one of which is the mortgage document and the other the promissory note. The mortgage document serves as
Any residential mortgage must contain two elements, one of which is the "mortgage document" and the other the "promissory note." The "mortgage document" serves as legal evidence that a debt exists between a mortgage borrower and lender allows the borrower to release the lender's lien on the mortgaged property at will legally pledges a real property of the botrower as collateral to a lender obligates the lender to maintain an escrow fund for the mortgaged property which is financed through the borrower's monthly coupon payments requires the lender to obtain and maintain insurance against damages to the mortgaged property uestion 4 (5 points) You find yourself needing money to help finance your purchase of a new Ferran and remember that you own, in your personal financial portfolio, a fully-insured, five-year term mortgage, amortized over 240 months, which today has three monthly payments remaining. Assume that the coupon payment owed for month 58 is $1200.00, the coupon for month 59 is $1000.00 and the coupon for the final month is $800.00. The Royal Bank of Regina (RBR) is interested in buying such mortgages. If current trading in riskless individual mortgage coupons determines the current market value of a dollar receivable one month from today at 98 cents, the current value of a dollar two months from today at 96 cents, and the current value of a dollar three months from today at 94 cents, the maximum price RBS will pay you for your mortgage is approximately $2,888.00$2,482.26$3,888.00$2,654.11 Any residential mortgage must contain two elements, one of which is the "mortgage document" and the other the "promissory note." The "mortgage document" serves as legal evidence that a debt exists between a mortgage borrower and lender allows the borrower to release the lender's lien on the mortgaged property at will legally pledges a real property of the botrower as collateral to a lender obligates the lender to maintain an escrow fund for the mortgaged property which is financed through the borrower's monthly coupon payments requires the lender to obtain and maintain insurance against damages to the mortgaged property uestion 4 (5 points) You find yourself needing money to help finance your purchase of a new Ferran and remember that you own, in your personal financial portfolio, a fully-insured, five-year term mortgage, amortized over 240 months, which today has three monthly payments remaining. Assume that the coupon payment owed for month 58 is $1200.00, the coupon for month 59 is $1000.00 and the coupon for the final month is $800.00. The Royal Bank of Regina (RBR) is interested in buying such mortgages. If current trading in riskless individual mortgage coupons determines the current market value of a dollar receivable one month from today at 98 cents, the current value of a dollar two months from today at 96 cents, and the current value of a dollar three months from today at 94 cents, the maximum price RBS will pay you for your mortgage is approximately $2,888.00$2,482.26$3,888.00$2,654.11
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