1. Given the following mortgage terms, for paying one point ( 1% of mortgage amount) up front the bank will reduce the interest rate charged on the mortgage from 3% to 2.75%. How much will you save in total repayment over the life of the mortgage.

   Purchase Price	$ 250,000.00		Purchase Price	$ 250,000.00
   Down Payment ( 10%)	$ 25,000.00		Down Payment ( 10%)	$ 25,000.00
   Mortgage Amount	$ 225,000.00		Mortgage Amount	$ 225,000.00
   			Points paid 1 point	$ 2,250.00
   Years for Mortgage	15
   			Total Borrowed
   Months
   			Years for Mortgage	15.00
   Interest Rate APR	3%
   Monthly rate			Months
   Payment per month			Interest Rate APR	2.750%
   			Monthly rate
   Total Repayment
   			Payment per month
   			Total Repayment Installments

   		$4843
   		$2593.80
   		$2,250
   		$1,784.58