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What is the weighted average maturity for this pool

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Reference no: EM133132282

Question 1 - Consider the following pool of mortgages:

-100 mortgages each with initial balance of $275492, interest rate 5.9%, issued for 30 years with monthly payments.

-80 mortgages each with initial balance of $170590, interest rate 2.9%, issued for 15 years with monthly payments.

What is the Weighted Average Maturity for this pool at origination? Express your answer in months rounded to 2 decimal points.

Question 2 - You would like to purchase a home and are interested to find out how much you can borrow. When your lender calculates your debt to income ratio, he determines that your maximum monthly payment can be no more than $3753. You would like to have a 30 year fully- amortizing loan with monthly payments and the interest rate offered on such a loan is currently 1% (annual). Given these constraints, what is the largest loan you can obtain?

Question 3 - Ahmed is purchasing a home worth $797986 and is financing the purchase with a 30-year, fixed rate, fully amortizing loan at 90% LTV with 2.0% interest. What will be Ahmed's monthly payments?

Reference no: EM133132282

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