You decide to buy a house with price of $$350,000.$ You put $20\%$ down payment and consider a

$15-$year fixed rate mortgage to pay the remaining balance. The lender offers you three choices of

the mortgage with monthly payments:

Suppose that the origination cost is $$5,000.$

Questions

If the loan will be outstanding for $15$ years, what is the effective cost for each choice?

Which choice would you like to make? Why?

Which mortgage choices $($i$.$e$.,b$ and $c)$ are not properly priced? Why?