Critical Thinking2 – Healthcare Law and Ethics
February 22, 2021
Project Requirements/Risk/Cost Paper
February 22, 2021

Time Value of Money

  • Find 5 different online mortgage lenders, such as this one.
  • From these 5 lenders, find the following rates, assuming the mortgage payments are made monthly:
    • 10-year (if available) for fixed-rate mortgage
    • 15-year (if available) for fixed-rate mortgage
    • 30-year for fixed-rate mortgage
  • Convert these rates into effective annual rates (EARs).
  • Discuss which rate is actually the cheapest rate.
    • What are 2 things about the sample Web site given above that could be applicable to a consumer or investor?
    • Present the rates in a table. List the quoted rate and EAR rate, the lender, and the maturity of the loan. Show your work for each calculation.
    • What is 1 mistake people make when calculating their mortgage payments? Explain your answer.
    • Based solely on the EAR, which rate is the cheapest? Does this make sense?
    • Why do the different lenders have different rates?
    • Is the difference in rates going to make a huge impact on the cost to the homebuyer? Explain your answer.

“Get 15% discount on your first 3 orders with us”
Use the following coupon
FIRST15

Order Now

Place Order

Hi there! Click one of our representatives below and we will get back to you as soon as possible.

Chat with us on WhatsApp