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Question 16 3.5 pts A homeowner bought a property for $300,000 5 years ago. He got a $250.000 loan at 9% for 30 years, the
Question 16 3.5 pts A homeowner bought a property for $300,000 5 years ago. He got a $250.000 loan at 9% for 30 years, the loan require monthly payments and is fully amortized. Currently mortgage rate for 25-year loan is at 7.5%. There is 2% origination fee charged on the new loan amount. All payments are monthly What is the return on the investment (2% of the loan amount to refinance the mortgage)? Assume that the homeowner will stay for only 4 more years? 68.915 62.51% 59.02% 57.5%
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