You are borrowing $100,000 to purchase a house. The interest rate is 3.5% over 15 years, with monthly payments, and there is a $1,000 origination fee on the mortgage. What is the APR or true cost of borrowing (in %) taking into account the origination fee? Enter your answer in decimal format, using four decimal places. For example, 4.25% would be entered as .0425
You are borrowing $100,000 to purchase a house. The interest rate is 3.5% over 15 years, with monthly payments, and there is a $1,000 origination fee on the mortgage. What is the APR or true cost of borrowing (in %) taking into account the origination fee? Enter your answer in decimal format, using four decimal places. For example, 4.25% would be entered as .0425
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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You are borrowing $100,000 to purchase a house. The interest rate is 3.5% over 15 years, with monthly payments, and there is a $1,000 origination fee on the mortgage. What is the APR or true cost of borrowing (in %) taking into account the origination fee? Enter your answer in decimal format, using four decimal places. For example, 4.25% would be entered as .0425
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