A couple is considering buying a house with a mortgage loan of $500,000 and a term of 25 years. The mortgage interest is currently 2.75%. The mortgage is paid back using a constant annual amount for interest and repayment. All interest rates in this question are annual with semi-annual compounding. For what interest rate does a loan of $500,000 have a bi-weekly payment of $1,000 over 25 years? Is it more or less than original 2.75%? Comment! use excel functions you
