Martins wish to purchase a house selling for $249,000. They plan to obtain a loan from their bank. The bank requires a 15% down payment, payable to the seller, and a
payment of 2 points, payable to the bank, at the time of closing.
Points are interest prepaid by the buyer and may be used to reduce the stated intere
rate the lender charges. One point is equal to 1% of the loan amount.
Determine the down payment.
Determine the amount of the mortgage
Determine the cost of the 2 points paid by the Martin's on their mortgage
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