Question: A bank makes a 30-year Fully Amortizing FRM for $1,000,000 at an annual interest rate of 4% compounded monthly, with monthly payments. What is the

A bank makes a 30-year Fully Amortizing FRM for $1,000,000 at an annual interest rate of 4% compounded monthly, with monthly payments. What is the market value of this loan after 7 years of payments if the annual interest rate for this loan is 10% compounded monthly? Pick the closest number.

1,000,000

861,000

544,000

515,000

288,000

Which of the following is a reason a borrower may want to refinance?

lenders demand lower PTIs

market interest rates go up

the borrowers house value falls

lenders demand lower LTVs

the borrower's credit score rises

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