A homeowner can obtain a $250,000,30-year fixed-rate mortgage at a rate of 6.0 percent with zero points or at a rate of 5.5 percent with 2.25 points.
How long must the owner stay in the house to make it worthwhile to pay the points if the payment saving is not invested?
A) 7.15 years
B) 3.33 years
C) 6.04 years
D) 5.90 years
E) More than 30 years
Correct Answer:
Verified
Q30: With a fixed-rate mortgage,the _ bears the
Q31: You obtain a $265,000,15-year fixed-rate mortgage. The
Q32: A homeowner could take out a 15-year
Q33: You purchase a $255,000 house and you
Q34: The least used form of mortgage securitization
Q36: Which of the following statements about GNMA
Q37: A homeowner can obtain a $250,000,30-year fixed-rate
Q38: You purchase a $325,000 town home and
Q39: A home buyer bought a house for
Q40: The schedule showing how monthly mortgage payments
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents