Question List

MULTIPLE CHOICE

QUESTION

Billy is buying a home for $900,000 and he is financing 80% of

purchase price. His lender is quoting him a 5% interest rate with th

option to pay 3 points at closing to lower the rate by 1%. How much

would he have to pay at closing to drop the interest rate to 4%?

$21,600

$18,750

$22,750

Or 15,690