Money will they get to keep from this sale as inheritance

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Reference no: EM131561463

A borrower obtains a reverse annuity mortgage (RAM) with a 5% fixed rate. At the point she decides to take a RAM her property is worth $578,000. The mortgage contract specifies that the borrower will receive $2, 500 a month for the next 10 years. From the time the borrower originates the RAM to the point where she passes away is 23 years. At the point at which the borrower passes away the property is worth $700,000 and her heirs elect to sell the property. How much money will they get to keep from this sale as an inheritance? Round your answer to the nearest cent. Omit the dollar sign from your answer.

Reference no: EM131561463

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