What is the after tax effective cost of funds for a 28 percent tax bracket borrower for a $200, 000 loan at 5.50 percent interest, with monthly payments amortized over 20 years if the lender charges 3 points at origination and the borrower will incur $5, 300 in third party loan costs?

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18-06-2024
Business

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What is the after tax effective cost of funds for a 28 percent tax bracket borrower for a $200, 000 loan at 5.50 percent interest, with monthly payments amortized over 20 years if the lender charges 3 points at origination and the borrower will incur $5, 300 in third party loan costs?

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