Multiple Choice
A borrower takes out a 30-year adjustable rate mortgage loan for $200,000 with monthly payments.The first two years of the loan have a "teaser" rate of 4%,after that,the rate can reset with a 2% annual rate cap.On the reset date,the composite rate is 5%.What would the Year 3 monthly payment be?
A) $955
B) $1,067
C) $1,071
D) $1,186
Correct Answer:
Verified
Correct Answer:
Verified
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