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please make sure answer all the questions .Thanks 4. Tim wants to buy an apartment that costs $750,000 with an 85% LTV mortgage. Tim got
please make sure answer all the questions .Thanks
4. Tim wants to buy an apartment that costs $750,000 with an 85% LTV mortgage. Tim got a 30 year, 3/1 ARM with an initial teaser rate of 3.75%. The reset margin on the loan is 300 basis points above 1 year CMT. Tim anticipates the index to be 3.50% at the time of the resel. What is Tim's monthly mortgage payment going to be during the 13 years? 5. In Q4, if the index resets to 3.50% as Tim forecasts, what will his new mortgage payment be in year 42 5. Tim wants to buy in apartment that costs $750,000 with an 85% LTV mortgage, Tim got a 30 year, 3/1 ARM with an initial teaser rate of 3.75%. The reset margin on the loan is 300 basis points above 1 yeur CMT. The index was 1% at the time of origination. Tim also had to puy 3 points for this loan. Suppose the index rate will remain 1% for the life of the loan. Compute the true APR for this loan. 7. In Q6, compute the IRR for this loun usuring Tim will prepay in years. 4. Tim wants to buy an apartment that costs $750,000 with an 85% LTV mortgage. Tim got a 30 year, 3/1 ARM with an initial teaser rate of 3.75%. The reset margin on the loan is 300 basis points above 1 year CMT. Tim anticipates the index to be 3.50% at the time of the resel. What is Tim's monthly mortgage payment going to be during the 13 years? 5. In Q4, if the index resets to 3.50% as Tim forecasts, what will his new mortgage payment be in year 42 5. Tim wants to buy in apartment that costs $750,000 with an 85% LTV mortgage, Tim got a 30 year, 3/1 ARM with an initial teaser rate of 3.75%. The reset margin on the loan is 300 basis points above 1 yeur CMT. The index was 1% at the time of origination. Tim also had to puy 3 points for this loan. Suppose the index rate will remain 1% for the life of the loan. Compute the true APR for this loan. 7. In Q6, compute the IRR for this loun usuring Tim will prepay in years Step by Step Solution
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