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Business, 19.03.2021 05:00 cheyfaye4173
A borrower takes out a 30-year price level adjusted mortgage loan for $200,000 with monthly payments. The initial interest rate is 4% with 4 points. Assuming that inflation is expected to increase at the rate of 3% for the next 5 years, and a fully amortizing loan is made. What is the expected effective yield to the lender if the loan is repaid in 2 years
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A borrower takes out a 30-year price level adjusted mortgage loan for $200,000 with monthly payments...
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