Question: I need a help with this question ASAP please. Thanks An ARM is made for $200,000 for 30 years with the following terms: Initial Interest
I need a help with this question ASAP please. Thanks An ARM is made for $200,000 for 30 years with the following terms: Initial Interest Rate: 4% Index: 1 year Treasuries: 2.2% EOY 1 and 3.4% EOY 2 Payments: reset each year Margin: 3.2 percent Interest Rate Cap: 1 percent annually, 5 percent life of loan Payment Cap: None Discount points: 3 percent What is the monthly payment each year be (Y1, Y2, Y3)? An ARM is made for $200,000 for 30 years with the following terms: Initial Interest Rate: 4% Index: 1 year Treasuries: 2.2% EOY 1 and 3.4% EOY 2 Payments: reset each year Margin: 3.2 percent Interest Rate Cap: 1 percent annually, 5 percent life of loan Payment Cap: None Discount points: 3 percent What is the monthly payment each year be (Y1, Y2, Y3)
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