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You have taken out a $ 8 0 0 , 0 0 0 , one - year ARM. The teaser rate in the first year

You have taken out a $800,000, one-year ARM. The teaser rate in the first year is 5.75%(annual). The index interest rate after the first year is 4.25% and the margin is 2.75%.(Note: The term on this ARM is 25 years.) There is also a periodic (annual) rate cap of 1.50%. Given this information, determine the monthly mortgage payment you would be scheduled to make in month 13 of the mortgage loans term.

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