In February 2010 the H. Ohm-Honer family bought their dream home for $480,000. They put $80,000 down (i.e., 16 %, just under the customary 20%) and financed the balance. They took a 5.2% (nominal) mortgage at the local Neighborhood Friendly Bank and Trust of $400,000 for 25 years (payable monthly, end-of period). From March 1 2010 through June 1, 2021, they made each monthly payment - timely and in full. However, since then they have fallen on hard times. They missed the next two payments, and cannot seem to make the September 2021 installment, as well. The mortgage is in technical default (look up this term, as needed). The bank is threatening to foreclose on the family - and to repossess the home of the loan is in arrears for any additional length of time. To compound the family's problems, the value of their dream home has dropped 30% from the original price - it is worth only $336,000 at this time. Suppose that this scenario continues unchanged through October 1, 2021. How much will the family owe the bank at that time? What, if anything, is their equity in the home? How much money has the family "lost" (i.e., a paper loss) under these conditions? Analyze the Ohm-Honers' financial position and options. Provide context to your analysis. Offer some suggestions that they may want to consider. Should they consider selling the home? At what price? At what loss? Should they ask the bank to refinance the loan? At what rate? With what term