The image and chart show the terms of a sample balloon payment mortgage.
Sample Terms
Compone...
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History, 18.03.2021 18:50 littleprinces
The image and chart show the terms of a sample balloon payment mortgage.
Sample Terms
Component
Cost
Loan amount: $200,000
Principal
$200,000
Regular payment term: 7 years
Monthly interest rate
.333%
Fixed rate interest: 4.0%
Monthly payment
$954
Total interest paid
$52,286
Total principal paid
$26,296
Remaining payment
$173,073
According to the terms of the sample balloon payment mortgage, what will most likely occur at the end of the
regular payment term?
O the remaining principal of $173,073 will be due immediately
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