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Suppose a lender is offering an 80% LTV loan on a $197.000 home with monthly payments over 30 years at 7% interest. The seller wishes

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Suppose a lender is offering an 80% LTV loan on a $197.000 home with monthly payments over 30 years at 7% interest. The seller wishes to buy the rate down to 5% for the first three years and then to 6% for the next two years. How much will the seller have to pay the lender to achieve the desired rate buydown

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