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You have a 30y mortgage balance of $700,000 with a 5% interest rate. Your house value is $900,000, and property taxes in your area is
You have a 30y mortgage balance of $700,000 with a 5% interest rate. Your house value is $900,000, and property taxes in your area is 1.4%. Your federal and state income tax brackets are 22% and 8%, respectively. You are married and filing jointly. Your state does not have a standard deduction but allows mortgage interest deductibility. Calculate the "effective" interest rate on your mortgage loan.
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