Fixed payment be for the remaining term of the loan

Assignment Help Financial Management

Reference no: EM131829148

You borrowed $350,000 with a 30-year fixed rate mortgage with a contract rate of 6%. For each month in the first two years of the loan, you are offered a choice between making the scheduled full amortization payment or a minimum payment of $1500. After the initial two-year period, the existing balance of the loan is amortized over the remaining 28 years. If you make the minimum payment each month for the first two years of the loan, what the new mortgage balance after making these payments? Then suppose that you decide to make the minimum payment each month for the first two years of the loan, what will your fixed payment be for the remaining term of the loan?

Reference no: EM131829148

Questions Cloud

What are the six bsha student learning outcomes : What are the six BSHA Student Learning Outcomes (SLOs)? Which SLO stands out to you the most? Why?

Purpose of the bsha program : What's the purpose of the BSHA program and how you believe it will help you achieve your goals.

What are the fallacies in article : What are the fallacies in "Social Media: Establishing criteria for Law Enforcement Use" by Robert D. Stuart's article

Why master data management is so important : Explain why master data management is so important in companies that have multiple data sources.

Fixed payment be for the remaining term of the loan : You borrowed $350,000 with a 30-year fixed rate mortgage with a contract rate of 6%. what will your fixed payment be for the remaining term of the loan?

How people make decisions and how people interact : How people make decisions? How people interact? How society manages its scarce resources and benefits from economic interdependence?

Explain how the internet works : Explain how the Internet works. Assume you are talking with someone who has no knowledge of information technology.

Tax-deferred retirement account for person : A $2,800 deposit to a tax-deferred retirement account for a person in a 25 percent tax bracket would reduce his or hers taxes by?

Principles quality management case study : Work this case study and go into detail with your evaluation of it (150 words ). Answer the questions at the end of the case and make sure that you go

User Account

All Pages