Question: Q: A 15 year variable rate mortgage offers a first year teaser rate of 3.11%. After that the rate starts at 5% adjusted based on

Q: A 15 year variable rate mortgage offers a first year teaser rate of 3.11%. After that the rate starts at 5% adjusted based on actual interest rates. If the mortgage is $325,000 compute the monthly payment during the second year, if the interest rate increases to 5%.

Ans: $2550, $2262, $2630, or $2389.

Thank you.

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