You have secured a loan from your bank for two years to build your home. The terms

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You have secured a loan from your bank for two years to build your home. The terms of the loan are that you will borrow $

145, 000

now and an additional $

95, 000

in one year. Interest of

9

percent APR will be charged on the balance monthly. Since no payments will be made during the two

-

year loan, the balance will grow. At the end of the two years, the balance will be converted to a traditional

20 -

year mortgage at a

7

percent interest rate.

What will you pay as monthly mortgage payments

(

principal and interest only

) ?

Posted Date: May 10, 2024 01:18 AM

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You have secured a loan from your bank for two years to build your home. The terms

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