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Real Estate Finance, I would really appreciate the answer for below questions. Regarding to PSA and Mortgage investment. 1. PSA Given the following information, answer

image text in transcribed

Real Estate Finance,

I would really appreciate the answer for below questions. Regarding to PSA and Mortgage investment.

image text in transcribed 1. PSA Given the following information, answer the following questions for month 12 of this security -15 year FRMs, monthly payments -PSA 150 -4.5% mortgage rate, 0.5% servicing fee, 3.75% discount rate - Pool balance at the beginning of month 12: $75,946,124 - The loans were not seasoned before entering the pool A: What is the projected prepayment amount in month 12? B: What the total interest received by the issuer in month 12? C: What is the payment to investors in month 12? D: If instead the WAM of loans at issuance was 178 months (i.e. the loans were seasoned for 2 months before the security was formed), what would be the prepayment in month 12 of the security? E: If you were told that month 12 of this security corresponded to the calendar month of January (and you were told that the appropriate seasonal adjustment factor for January was 75%) would this increase or decrease the expected cash flows to investors you found in part C? By how much

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