You have found a house in Jersey City you would like to buy that costs $600,000. Your mortgage banker offers you several choices for a mortgage and is willing to finance 90% of the purchase. 30 year fixed mortgage at 4.00% 15 year fixed mortgage at 3.875% 5 year fixed mortgage at 3.25% 1) Calculate the monthly payments for each choice. (10 pts) 2) How much will you pay in total for each of the three options? (5 pts) eree for each option (i.e show interest and principal paid and the remaining balance in each month) (10pts) 4) Assume your budget allows you up to $3,000 in monthly payments and you want to pay principal down as quickly as possible. What is your final choice? (5 pts) 5) Under which option/s would you walk away from your house if prices fell 20% of the original purchase price by the end of year 4? Assume no other costs to walk away (5 pts) **(Hint: think about the PV of the payments for the remaining terms and compare with new price)