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Given the following information on a MPT, how much money is each individual investor receiving in year 5? 10 year FRM, fully amortizing, annual payments.

Given the following information on a MPT, how much money is each individual investor receiving in year 5?

  • 10 year FRM, fully amortizing, annual payments.
  • No prepayment or default
  • 100 loans in the pool
  • Average starting balance of $350,000/loan
  • Mortgage rate 5%
  • Servicing fee of 0.5% of starting outstanding pool balance
  • There are 40 investors with equal shares in the pool

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