What are the monthly payments after the second year

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A mortgage broker is offering a $289,000 25-year mortgage with a teaser rate. In the first two years of the mortgage, the borrower makes monthly payments on only a 5.5 percent APR interest rate. After the second year, the mortgage interest rate charged increases to 8.5 percent APR.

What are the monthly payments in the first two years? (Do not round intermediate calculations and round your final answer to 2 decimal places.)

What are the monthly payments after the second year? (Round the dollar amounts to the nearest cent but do not round other values in your interim calculations. Round your final answer to 2 decimal places.)

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Reference no: EM131523471

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