After thirteen years the borrower the mortgage issuer pays, Financial Management

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After thirteen years the borrower the mortgage issuer pays

1. You have decided to buy a house. You can get a mortgage rate of 5.6 percent, and you want your payments to be $1,125 or less. How much can you borrow on a 20-year fixed-rate mortgage?

2. Consider a 30-year, $140,000 mortgage with a 6.70 percent interest rate. After thirteen years, the borrower (the mortgage issuer) pays it off. How much will the lender receive?

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Financial Management: After thirteen years the borrower the mortgage issuer pays

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Financial Management: After thirteen years the borrower the mortgage issuer pays

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