# September 2023 I need help with this finance homework I need to see all solutions worked and need this by 4pm tomorrow

2024 I need help with this finance homework. I need to see all 12416 Assignment Help

I need help with this finance homework I need to see all solutions worked and need this by 4pm tomorrow 2023

I need help with this finance homework. I need to see all solutions worked and need this by 4pm tomorrow night. Finance Homework #3.doc Question 2 Note: The information presented here applies to questions 2 and 3. You are considering borrowing the $185,000 you need to purchase your home using a 30-year mortgage with a fixed annual rate of 5%. There are no points, but the loan comes with a prepayment penalty equaling 3% of the remaining mortgage balance. What is the penalty that must be paid if the balance of the loan is repaid after making payments for three years? Question 3 If the loan balance is repaid after making payments for three years, what is the effective cost of borrowing? Question 4 Your broker has just called to inform you that your offer on a lovely new studio apartment in Gramercy Park has been accepted. You will finance 80% of the $560,000 purchase price with a 3/1 ARM with an initial rate of 3.75%. What is the mortgage payment that you will make each month for the first three years of the loan? Question 5 Note: The information presented here applies to questions 5, 6, 7, 8 and 9. Two different families, the Smith family and the Jones family, have taken out identical mortgages. Each has borrowed $320,000 using a 5/1 ARM with an initial fully-indexed rate of 4.25% and neither family paid any points at origination. The fully-indexed rate is determined by the yield on the LIBOR index plus a margin of 250 basis points. What was the yield on the LIBOR index at the time when each family purchased their house? Question 6 If the rate determining payments for the first five years of the loan equals the fully-indexed rate, what is the balance remaining at the first reset date? Question 7 If, at the first reset date, the yield on the LIBOR index is 2.25%, what is the scheduled monthly payment for the sixth year of the loan? Question 8 The Smith family plans on selling their house at the end of four years. What is their effective cost of borrowing? Question 9 The Jones family plans on staying in their house for at least the next thirty years. If the yield on the LIBOR index is 2.25% at the first reset date and does not change for the remaining life of the loan, what is their effective cost of borrowing? Question 10 You are planning to finance the acquisition of your new home with a biweekly payment mortgage. The contract rate on the mortgage is 6% and you are borrowing $425,000. If you make your payments as scheduled and hold the loan until the balance is repaid in full, how many years did it take to repay your loan? Question 11 Note: The information presented here applies the questions 11 and 12. You borrowed $350,000 using a 30-year fixed-rate mortgage with a contract rate of 6%. The loan gives you the choice between making the scheduled fully amortizing payment or a minimum payment of $1500. After this initial two-year period, the existing balance of the loan is amortized over the remaining 28 years of the loan’s term. If you make the minimum payment each month for the first two years, what is your new mortgage balance after making these payments? Question 12 If you make the minimum payment each month for the first two years of the loan, what will your fixed monthly payment be for the remaining term?