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You have taken out a $400,000, 5/1 ARM with monthly payments. The initial rate of 4.8% (annual) is locked in for five years. The interest
You have taken out a $400,000, 5/1 ARM with monthly payments. The initial rate of 4.8% (annual) is locked in for five years. The interest rate after the initial lock period (including index and margin) is 6.0% (note: the term on this 5/1 ARM is 30 years.) What is the monthly payment after recasting the loan (i.e., after the reset in the sixth year?) Using a financial calculator
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Computational Techniques In Economics And Finance
Authors: Constantin Zopounidis
1st Edition
1613245580, 978-1613245583
