Kate and Nick are buying a home. They will borrow $200000 for a term of 30 years. Their bank offers an opportunity for the couple to buy down the quoted interest rate of 6.3% by 0.125% per point purchased. Each point will cost 1% of the amount borrowed. What is the new interest rate if they buy 2 points? How much will it cost to purchase 2 points? How much will they save each month? What is the break even point? How much money will they save buying points?