Assume you have decided to buy a new house in Malibu that costs $822,000 (a bargain for that community). You want to get a conforming mortgage. Assuming no points, how much cash do you need to bring to the closing. Also, assume there are no other fees.

How much is the mortgage for? [from the prior: Assume you have decided to buy a new house in Malibu that costs $822,000 (a bargain for that community). You want to get a conforming mortgage.]

Staying with that same mortgage situation, your mortgage broker has offered you a couple of differing mortgage products. For now, let's work with mortgage A: a 30 year fixed rate mortgage with an 8% rate and no points. What is the monthly payment?

For this fixed-rate mortgage with no points (Mortgage A), what is the effective yield?

Now, let's think about Mortgage B, a 30-year adjustable-rate mortgage with no points. Like the prior mortgage, it is a conforming mortgage. The interest rate offered is 5% and it resets after year 2 at 100 basis points over the 3-year Treasury. What is the initial monthly payment? [From earlier: Assume you have decided to buy a new house in Malibu that costs $822,000 (a bargain for that community). You want to get a conforming mortgage.]

How much do you owe on this mortgage on the two-year anniversary?

On the second anniversary, the 3-year Treasury is trading at 6%. What is your new mortgage interest rate?

Lastly, what is your new payment after the interest rate resets?

please answer in order. Thank you!