Assume a $$175,000$ mortgage loan and $10-$year term. However, monthly payments will be based on a $30-$year amortization schedule. The lender is charging an annual interest rate of $6$ percent. Total up$-$front financing costs, including payments to third parties, equal $4$ percent of the loan amount.

Required:

What is the monthly payment?

What will be the required balloon payment at the end of the $10$th year?

What is the effective borrowing cost on the loan if it is held to maturity?