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Question 6 5 pts A borrower finds that the incremental cost of borrowing an extra $10,000 in a first mortgage loan is 14%. A second
Question 6 5 pts A borrower finds that the incremental cost of borrowing an extra $10,000 in a first mortgage loan is 14%. A second mortgage loan can be obtained at 15% in combination with a smaller (by $10,000) first mortgage. The borrower would be better off by borrowing with the combination of the smaller first mortgagee loan and a second mortgage loan for $10,000. True O False U Question 7 3 pts A borrower purchased a property 15 years ago with a loan for $150,000 with monthly payments for 30 years at 7% interest. Today, the mortgagee wishes to sell the loan to an investor. If market interest rates are 5%, how much would the investor be willing to pay for the loan assuming the loan does not allow prepayment? $126,196 O $75.000 O $168,646 $179,460
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