In 2021 , a recently married couple was in escrow to buy a two-bedroom, three-bathroom home in Huntington Beach, California at a purchase price of $900,000. To get the best available interest rate and loan terms, they researched the lending market and found that if they made a 10% down payment and took out a 30-year fully amortizing fixed rate conforming mortgage loan for the balance of the purchase price, they could get a loan with an annual interest rate of 4.25% on the contract loan amount, with one point charged by the lender plus a $700 appraisal fee and a $25 credit report fee. If the lender agreed to "net fund" the loan and deduct the points and fees from the contract loan amount at the closing so that the couple would not have to pay those fees and costs out of pocket, what portion of their first month's payment would be principal? \begin{tabular}{c} $1,239.96 \\ $1,115.96 \\ \hline$1,128.12 \\ $1,103.80 \end{tabular}