Carol has had a $145,000 fixed mortgage for 5 years at 5.25% and is considering refinancing. She can now get an 80/20 mortgage with 4.5% and
9.5% interest, respectively. Based only on this information, should she
refinance?
O A. Yes, the new blended interest rate is lower than the old blended
interest rate.
O B. No the two blended interest rates are the san e.
C. No; she has too much equity built up in the house.
D. Nor the new blended interest rate is higher than the old interest
rate