Final answer:
The question requires a calculation to determine at what point the lower interest rate of a home loan from a credit union, after paying higher upfront points, becomes more advantageous in terms of cost savings over time.
Step-by-step explanation:
The subject of the question is determining the length of time required to pay off a home loan with specified conditions. For a $370,000 loan from a credit union offering 30-year home loans at different interest rates and points, we would need to calculate the breakeven point where the lower interest rate compensates for the higher upfront points paid. As the question pertains to a comparison of two mortgage options from a credit union, one with an annual rate of 4.1% with 1.5 points and the other with an annual rate of 3.8% with 1.95 points, we are required to use the given information to determine which loan term would be more financially advantageous over a certain period based on the borrower's ability to pay. However, the question does not provide a specific formula or further details on the cost comparison, thus a definitive calculation cannot be completed without additional information.
Typically, to calculate the breakeven point, one would determine the monthly payments for each option, factor in the points as an upfront cost, and then analyze over time how long it would take for the savings from the lower interest rate to offset the initial higher cost of points.