1. Consider a 25 year loan with an annual interest rate of 7 percent and monthly payments of $1,201.53. The discount points charged by the lender at origination are 3 percent and the cost of borrower title insurance and mortgage insurance are, respectively, 0.5 percent and 2.0 percent of the loan amount. Additional fees paid to other third parties will equal $4,000. What is the loan amount? What is the lenders yield/IRR? What is the effective borrowing cost (EBC)?