You are thinking about buying a house. You find one you like that costs $250,000.You learn that your bank will give you a mortgage for$200,000and that you would have to use all of your savings to make the down payment of$50,000.

You calculate that the mortgage payments, property taxes, insurance, maintenance, and utilities would total $1,200 per month.

Given the information above, if the interest rate on your savings account was 2 percent a year, then what would the yearly opportunity cost of using this money for a down payment be?