Fully-amortizing-fixed-rate mortgage

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Reference no: EM13848296

You are 12 years into your fully-amortizing, 30-year, fixed-rate mortgage for $90,000. The loan has a 7-year reset provision. The initial interest rate on the loan is 6%. The reset rate is 8%. The loan required you to pay 3 discount points at origination. The loan has no interest-only period. How much interest will you pay in year 12?

Reference no: EM13848296

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