Given the following information about a 5/1 ARM, what will the monthly payment for this loan be

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Given the following information about a 5/1 ARM, what will the monthly payment for this loan be immediately after the first reset date if the reference index is at 3%? Loan amount: $500,000; Initial interest rate 2.5%; Margin 2%; Index: 1 year US treasuries. (30 year, fully amortizing loan, monthly payments) A. $1,834.90 B. $1,866.56 C. $1,975.60 D. $2,574.40 E. $8,310.46

Posted Date: May 18, 2024 03:08 AM

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Given the following information about a 5/1 ARM, what will the monthly payment for this loan be

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