Requirements: 1. The submission must be a Word file. The file name must be in the format like last namefirst name-term-peoject dock: 2. Have a cover page to list the counc aume, term, and your name of your team member's narses. 3. Maximum length; 10 pages; doable spaced. 4. Please provide referenoes you used in the tene paper. 5. Use tables of figures to show your results. 6. Consult with a real estate agent aboer the parchase (optional) if this is applicable, discues your experience in the report. 7. AIl the caleulations, such as mertgane payment, NPV, efe., in this project must be done by you using Escel or a calculator. Ising a template anline to get ithe result is bot allowed and grts be credic. You are deciding to purchase an investancat property in an ideal locative yoe prefer. You would address the following issues before buying the property tignore all the taxes, realtor agency for, the transition fee in the calculation. Only coesider the parchasing price as the total cost. Also, ignore the hoase insurance fee, ete. Only consider inceithly mortgage and rent.). 1) Decide the location and the specific real estate propetty you would like to buy (eg. a single-family house or a condo;. Please provide juatification why the property is chosen, And e.g., affordability, and the potctial for price appreciation. You could use the resourse like allowercom, etc. (2 points) 2) Find out the mortgage rates for different peoperties and choose between a 30 or 15-year fixed-rate mottgage (FRM). You could wse hunknate com, efc. You mist justify your decision. 12 points) 3) Calculate the montbly mortgage puyment given the dewn poyment (20\% of the price) you means you will pay 20% down puyment at the purchase and finance 80% with the mortgage. Please show your calculacices of moechly mongage payments in the report. (4 points) 4) In the meantime, predict the amount of moertly rental you will be able to collect when youl lease the property out (sillow, com also provides rental price information). The nowal poriod rental in the same year. Justify your nental incoene projection. (4 points) 5) Project the resale value of the pruperty at the end of the mortgage payment period. You need to use some statistics to back up yoer mimbers. ( 4 points) 6) Once you have a. the projected menthly montgage puyment b. the monthly rental income c. the resale valoe of the property at the end of the mortgage payment period Yoe could calculate the net pesers value (NPV) of the cash flow of a, b, and e respectively. You must show the calcalation of the present value in the report to get the eredit. The discount rate is the morigege rate. The return (measured in terrns of profit index) on your irvestment property is calculated as retum (Sum of NPV in a,b, and o ' the down payment) - 1. The calculation needs to be shoam in the report. (12 points) 7) Next, assume you don'l purchase an investment property. Instead, you invest the same amount of yoar total imvestment in the howse in the SdP500 index. Over the past 30 years, the SSP500 indes has deliverod a conposed inerape annual growth rafe of 10.7% per year. Which one could vou invest in? You noed to consider the fachors more than the retarn. Justify Requirements: 1. The submission must be a Word file. The file name must be in the format like last namefirst name-term-peoject dock: 2. Have a cover page to list the counc aume, term, and your name of your team member's narses. 3. Maximum length; 10 pages; doable spaced. 4. Please provide referenoes you used in the tene paper. 5. Use tables of figures to show your results. 6. Consult with a real estate agent aboer the parchase (optional) if this is applicable, discues your experience in the report. 7. AIl the caleulations, such as mertgane payment, NPV, efe., in this project must be done by you using Escel or a calculator. Ising a template anline to get ithe result is bot allowed and grts be credic. You are deciding to purchase an investancat property in an ideal locative yoe prefer. You would address the following issues before buying the property tignore all the taxes, realtor agency for, the transition fee in the calculation. Only coesider the parchasing price as the total cost. Also, ignore the hoase insurance fee, ete. Only consider inceithly mortgage and rent.). 1) Decide the location and the specific real estate propetty you would like to buy (eg. a single-family house or a condo;. Please provide juatification why the property is chosen, And e.g., affordability, and the potctial for price appreciation. You could use the resourse like allowercom, etc. (2 points) 2) Find out the mortgage rates for different peoperties and choose between a 30 or 15-year fixed-rate mottgage (FRM). You could wse hunknate com, efc. You mist justify your decision. 12 points) 3) Calculate the montbly mortgage puyment given the dewn poyment (20\% of the price) you means you will pay 20% down puyment at the purchase and finance 80% with the mortgage. Please show your calculacices of moechly mongage payments in the report. (4 points) 4) In the meantime, predict the amount of moertly rental you will be able to collect when youl lease the property out (sillow, com also provides rental price information). The nowal poriod rental in the same year. Justify your nental incoene projection. (4 points) 5) Project the resale value of the pruperty at the end of the mortgage payment period. You need to use some statistics to back up yoer mimbers. ( 4 points) 6) Once you have a. the projected menthly montgage puyment b. the monthly rental income c. the resale valoe of the property at the end of the mortgage payment period Yoe could calculate the net pesers value (NPV) of the cash flow of a, b, and e respectively. You must show the calcalation of the present value in the report to get the eredit. The discount rate is the morigege rate. The return (measured in terrns of profit index) on your irvestment property is calculated as retum (Sum of NPV in a,b, and o ' the down payment) - 1. The calculation needs to be shoam in the report. (12 points) 7) Next, assume you don'l purchase an investment property. Instead, you invest the same amount of yoar total imvestment in the howse in the SdP500 index. Over the past 30 years, the SSP500 indes has deliverod a conposed inerape annual growth rafe of 10.7% per year. Which one could vou invest in? You noed to consider the fachors more than the retarn. Justify