Secondary Mortgage Purchasing Company (SMPC) wants to buy your mortgage from the local savings and loan. The original balance of your mortgage was $143,000 and was obtained five years ago with monthly payments at 10 percent interest. The loan was to be fully amortized over 30 years. Required: a. What should SMPC pay if it wants an 11 percent return? b. What is the balance of the original loan after five additional years (10 years from origination)? Only typing answer Please explain step by step

Q: Assume that a borrower is expected to prepay a loan at the end of Year 5. Based on the following…

A: The Effective Cost of Borrowing is the true and comprehensive cost associated with obtaining and…

Q: Secondary Mortgage Purchasing Company (SMPC) wants to buy your mortgage from the local savings and…

A: A loan is a sum of money that is borrowed, typically from a financial institution, and is expected…

Q: Please show reaekson and don't use hend raiting

A: To calculate the periodic payment in month 15 for a constant amortization mortgage (CAM) loan, we…

Q: A computer store sells for  $2,200,000 . The buyer made a  30%  down payment and secured a  20…

A: Borrowings are the liability of the company which is used to finance the requirement of the funds.…

Q: 6. Assume an elderly couple owns a $140,000 home that is free and clear of mortgage debt. A reverse…

A: a. The monthly payment on this Reverse Annuity Mortgage (RAM) is $1,152.16. b. The following is the…

Q: Suppose you have taken out a $125,090 fully amortizing fixed rate mortgage loan that has a term of…

A: A mortgage refers to a covered loan that is borrowed for purchasing a property with the property…

Q: a. What should SMPC pay if it wants an 11 percent return? b. What is the balance of the original…

A: To solve this question, we first need to determine the monthly payments by inputting the following…

Q: Find the monthly payment (in $) and the total interest (in $) for a mortgage of $46,000 at  5 1/4 %…

A: Monthly payment=4.14Total interest=$42,987.20So, the monthly payment is $4.14 and the total interest…

Q: A 30-year fully amortizing mortgage loan was made 10 years ago for $90,000 at 6 percent interest.…

A: Step 1: Determine the original mortgage paymentFirst, lets calculate the original monthly mortgage…

Q: Ten years ago, you took out a $400,000 mortgage to buy a new house. The mortgage was a 20-\\nyear,…

A:

Q: Use PMT = to determine the regular payment amount, rounded to the nearest cent. The cost of a home…

A: Cost of House is $110,000 Time period is 20 years or 20×12=240 months Interest rate is 3%  Monthly…

Q: A 30-year fully amortizing mortgage loan was made 10 years ago for $82,000 at 6 percent interest.…

A: Loan amortization refers to the systematic periodic payment of loan and interest amount over a…

Q: 5. Jim Jones bought a house for monthly mortgage payments of $600.00 for twenty years. If interest…

A: Note: Since you have asked multiple questions, we will solve the first question for you. If you want…

Q: ABC mortgage is to obtain a facility amounting to $200000 to be repaid over a period of 20 years at…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: to determine the regular payment amount, rounded to the nearest cent. The cost of a home is financed…

A: Calculation of PMT =[$120000*(0.04/12)]/[1-(1+(0.04/12))(-20*12)]…

Q: many years will it take for 1/3 of the loan balance to be rep-

A: In this problem we have to find out monthly payments and find out time required to repay 1/3.

Q: Please correct answer and don't use hend raiting

A: If you find this answer good please rate it helpful. If any query then raise it.Thank You!

Q: You take out a 30-year $150,000 mortgage loan with an APR of 12% and monthly payments. In 11 years,…

A: Mortgage loans are secured loans and these are paid by easy and equal monthly installments that…

Q: Use PMT= to determine the regular payment amount, rounded to the nearest dollar. The price of a home…

A: “Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: 2. Prepare a loan amortization schedule for the first 3 months of the mortgage loan shown in the…

A: Total loan is $250,000. Number of years is 20. Thus, number of total monthly payment is 240. Annual…

Q: The following loan is a simple interest amortized loan with monthly payments. $155,000, 9%, 30 years…

A: Given, The loan amount is $155,000 Number of years (t) is 30 years Rate of interest is 9.5%

Q: a. What should SMPC pay if it wants an 11 percent return?

A: Company SM's purchase of the mortgage signifies an investment strategy, as it grants them the right…

Q: A borrower has secured a 30 year, $730,000 loan at 5%. 15 years later, the borrower has the…

A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: Find the first month of the amortization schedule for a fixed-rate mortgage if 70,000 with an…

A: Loans are paid equal and fixed monthly payments and these payments carry the payment for loans and…

Q: Given the following information on two fixed-rate fully amortized mortgages and consider the…

A: A fully amortized mortgage is designed so that the borrower pays off the entire balance of the loan…

Q: Find the indicated amounts for the fixed-rate mortgages. Purchase Down Mortgage Interest rate price…

A: The periodic payments are payments made at the regular interval and the amount also remains the…

Q: A building is sold for $100000 and the bank requires 20% down payment. If the effective rate of…

A: Calculate the amount of loan after down payment by deducting the down payment amount from the value…

Q: a. Create the amortization speadsheet for a $15,000,000 fixed-rate commerical mortgage loan. The…

A: Balloon payment: It is the lump sum payment of the principal amount which is paid by the borrower…

Q: You borrow $300,000 to buy a house; if the annual interest rate is 4% and the term of the loan is 20…

A: Mortgage refers to the covered loan that is borrowed for the purchase of property with the property…

Q: eed Detailed answer with steps please 30. Considering the following information, what is the NPV if…

A: NPV of refinance can be calculated as the present value of savings from refinance minus cost of…

Q: You bought a house and need a mortgage for $1,014,597. The interest rate on the mortgage is 2.5% and…

A: Compound = 24Principal Amount = p = $1,014,597Interest Rate = r = 2.5 / 24 %Number of Payment = n =…

Q: 4. The cost of a home is financed with a $120,000 30-year fixed-rate mortgage at 4.5%. a. Find the…

A: Monthly Payments = L[c(1 + c)^n]/[(1 + c)^n - 1], where L stands for "loan," C stands for "per…

Q: 2. Prepare a loan amortization schedule for the first 3 months of the mortgage loan shown in the…

A: Loan amortization is the process of reimbursement of loan periodically by the borrower of the loan…

Q: Your monthly mortgage payment (principal plus interest) is $1,500. If you have a 34-year loan with a…

A: Information Provided: Interest rate = 0.25% per month Period of loan = 34 years Monthly payment =…

Q: se PMT formula on the image uploaded to determine the regular payment​ amount, rounded to the…

A: Monthly payment:…

Q: (Type A) If a fully amortizing 30-year fixed-rate mortgage was originally taken at $300,000 with 6…

A: Here, Loan Amount is $300,000 Remaining Loan Amount is $100,000 Interest Rate is 6% Time Period is…

Q: Calculate using formulas (paste into a word document) the amortization year fixed-rate monthly…

A: Mortgage amortization is the gradual repayment of a mortgage loan over its scheduled term through…

Q: r with explanation and conclusion to all parts Your bank has pre-approved a mortgage for the…

A: Mortgage loans are paid by monthly payment that carry the payment for interest and mortgage. These…

Q: a. Calculate the size of the monthly payments. Round to the nearest cent b. Calculate the principal…

A: a) Calculate the amount of monthly payments as shown below: Resultant table Hence, the amount of…

Q: A lender offers you a $125,000, 30 year mortgage with monthly payments of $769.65. What’s the…

A: The lender charges the interest from the borrower in exchange for extending the loan. The borrower…

Calculating the Return On A Loan