Question

Aimee and Ben are purchasing a condominium and are financing $415,500. The mortgage is a 20-year 3/1 ARM at 2.75% with a cap structure of 1.5/8. What will their payments be for the first 3 years?

$1,696.24

$2,252.70

$2,572.92

$3,475.41

Answer 1

@ganeshie8

Answer 2

@ganeshie8

Answer 3

@esshotwired

Answer 4

would i use the monthly payment formula @tkhunny

Answer 5

Why did you repost this? Tired of getting wrongs answers thrown at you on the other one? :-)

Yes, just use the monthly payment formula. We are assuming monthly payments, since the problem statement didn't bother to tell us.