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You borrowed $445,000 with a 30-year, fully amortized mortgage ten years ago. The rate on the loan is 3.625% and you hav
Posted: Sun May 29, 2022 6:23 pm
by answerhappygod
- You Borrowed 445 000 With A 30 Year Fully Amortized Mortgage Ten Years Ago The Rate On The Loan Is 3 625 And You Hav 1 (31.58 KiB) Viewed 15 times
You borrowed $445,000 with a 30-year, fully amortized mortgage ten years ago. The rate on the loan is 3.625% and you have made 120 payments on the loan. A mortgage broker has identified a lender that will refinance your existing loan with a new 20- year mortgage with a rate of 2.75%. The upfront refinancing costs consist of 1.85 points. What is NPV of the refinancing if you believe that you will repay the loan over its full term?