Suppose you take a 3 / 1 interest - only, 3 0 - year ARM for $

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Suppose you take a $3 / 1$ interest $-$ only, $30 -$ year ARM for $ $220, 000.00$ with an interest $-$ only contract rate of $5 %$ and a following rate of $8.25 %$ in year $4 .$

Assume you pay $2$ discount points.

Suppose that the contract rate in year $5$ is $8.5 %$ and this contract rate stays constant from years $5$ through $30 .$ What is the APR?

Related Book For answer-question

Income Tax Fundamentals 2013

ISBN: 9781285586618

31st Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

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Posted Date: Mar 26, 2024 01:18 AM

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Suppose you take a 3 / 1 interest - only, 3 0 - year ARM for $

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Income Tax Fundamentals 2013

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