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the info presented here is for questions 1,2 and 3. The fully-indexed rate on a 5/1 ARM with a maturity of 30 years is determined
the info presented here is for questions 1,2 and 3. The fully-indexed rate on a 5/1 ARM with a maturity of 30 years is determined by the yield on the one-year LIBOR plus a margin of 250 basis points. If the fully-indexed (composite) rate is currently 6%, what is the current yield on the one-year LIBOR (in percent)?
1 If the initial rate on this loan is 4.5% and the amount borrowed is $375,000, what will the scheduled payments be for the first five years of the mortgage?
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