For an adjustable-rate mortgage, how often can the interest rate change?*BiannuallyAnnuallyMonthlyIt varies based on the loan terms

Which of the following is true about fixed and adjustable-rate mortgages?*1 pointFixed-rate mortgages have a constant payment every month, but an interest rate that increases during the term of the loanThey work the same way but are called different names depending if they come from a bank or a credit unionFixed-rate mortgages have a fixed interest rate for a short period, but then the interest rate fluctuates, which can lead to higher or lower interest rates for the homeownerAdjustable-rate mortgages have a fixed interest rate for a short period, but then the interest rate fluctuates, which can lead to higher or lower interest rates for the homeowner

If a Mortgage requires fixed payments every month for 15 yrs, which of the following is true?Group of answer choicesThe amount of interest paid each month increases over timeEarly payments contained the most interest, while later payments contain more principalThe same amount of principal is repaid with every paymentThe percentage of the payment going to interest goes up over time

The level at which commercial lending institutions set mortgage interest rates has a significant effect on the volume of buying, selling, and construction of residential and commercial real estate. A researcher collected data on annual average mortgage interest rates (for conventional, fixed-rate, 30-year loans) for the period 1987–2010, and run a linear trend regression of Y (average mortgage interest rate expressed as a percentage) on X (time period, X = 0, 1, 2......, n). The estimated equation has a Y-intercept of 10.50 and a slope of -0.24. The slope can be interpreted as a. The average mortgage interest rate set by commercial lending institutes is predicted to fall by 0.24% per year, on average. b. The average mortgage interest rate set by commercial lending institutes is predicted to rise by 10.26% per year, on average. c. The average mortgage interest rate set by commercial lending institutes is predicted to rise by 10.74% per year, on average. d. TThe average mortgage interest rate set by commercial lending institutes is predicted to rise by 10.50% per year, on average.

Sarah is planning to purchase a new house. To purchase the house, she will need to borrow $550,000 from the bank. The loan term is 30 years and the terms of the contract require monthly end of period payments (including interest and principle). The current interest rate offered by her bank is 3.5% per annum for a variable rate mortgage loan. If Sarah borrows the money from her bank and the interest rate decreases by 0.5% three years after the mortgage started, what would the new monthly repayment be?Question 1Select one:a.$1,375.00b.$2,469.75c.$2,500.00d.$2,331.00

An interest rate that will not change over the term of the loan is known as a(n) _____.A.variable interest rateB.annual percentage rateC.compound interest rateD.fixed interest rateSUBMITarrow_backPREVIOUS