Finance
What is a 'point' in the context of a New Mexico mortgage loan?
AOne percent of the loan amount paid upfront✓ Correct
BOne dollar of the loan amount
COne percent of the property value
DOne year of the loan term
Explanation
One point = 1% of the loan amount. Points may be origination points (lender fees) or discount points (prepaid interest to buy down the interest rate).
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