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You have secured a 30-year, $150,000 loan at 7 percent with monthly payments. Fifteen years later, there is the opportunity to refinance with a fifteen
You have secured a 30-year, $150,000 loan at 7 percent with monthly payments. Fifteen years later, there is the opportunity to refinance with a fifteen year mortgage at 6 percent. However, refinancing involves $2,500 of your time (e.g., lost wages) to handle the paperwork. What is the return on investment of your time if you expect to remain in the home for the next fifteen years?
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