What is the cash equivalent price

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A property recently sold for $300,000 with a 20 percent down payment. The seller financed the property at 2.5 percent for 30 years. At the time of the sale, market interest rates were 4.5 percent. What is the cash equivalent purchase price? Assuming that the mortgage is called (becomes due balloon payment) in seven years, what is the cash equivalent price?

Reference no: EM13778833

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