Adjustable Rate Mortgages - ARM?
Shawn bought a home with an adjustable-rate mortgage. The margin on the loan is 2.7%, and the rate panama is 7.2% over the life of the loan. If the current index rate is 4.3%, what is the initial interest rate of the ARM?
A - 7%
B - 9.9%
C - 11.5%
D - 14.2%
Please help. Answer is cooperative, but also try to show me how you got it. Thanks :)
Answers:
Answer is A. I found the answer at mortgagebreakdown Source(s): http://www.mortgagebreakdown.com
A
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A - 7%
B - 9.9%
C - 11.5%
D - 14.2%
Please help. Answer is cooperative, but also try to show me how you got it. Thanks :)
Answers:
Answer is A. I found the answer at mortgagebreakdown Source(s): http://www.mortgagebreakdown.com
A
Related Questions:
What is expected by 'raising of mortgage rates'?
hi there what is meant by 'raising of mortgage rates'? increasing the interest rates given to/offered for home loans It means the bankers want some new Ferraris cos their's own got a wee bit dusty so they want to squeeze more money...