CHAPTER 3: RATES OF RETURN
On the other hand, rates are falling, so you are thinking about a 30-year variable-rate loan, which is currently at 4.5% and which is tied to the six-month Treasury bill rate. A final mortgage option is a variable-rate loan that begins at 5% and can not fall below 3% but that can increase by only as much as 2% per year up to a maximum of 11%. ................
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