Given the role of the loan originator in the securitization process of a mortgage loan described in the text,do you think the loan originator will be worried aboutthe ability of a household to meet its monthly mortgagepayments?

Q: How can mechanics’ liens achieve priority over first mortgages that were recorded prior to the…

A: Mechanic’s liens get the priority over the first mortgages when they depend on the state recording…

Q: For the second mortgage application, calculate the percentage of appraised value and the potential…

A: Percentage of appraised value (in $) = Appraised value * Lenders percentage potential credit (in $)…

Q: Define the term amortized but write down its meaning in your own words in reference to amortized…

A: Since there are multiple questions it is only possible to solve the 1st part.

Q: You are considering giving a loan to a prospective commercial property investor. You are concerned…

A: In order to see which ratio should be looked upon one should look at the income generated by the…

Q: Describe some of the motives and mistakes made by the mortgage brokers?

A: To market and attract new borrowers for the lenders Assessment of credit history of the borrowers.…

Q: What dangers are encountered by mortgagees and unreleased mortgagors when the property is sold…

A: Borrowers mortgage their properties or assets to provide guarantee for repayment of loan to the…

Q: For the second mortgage application, calculate the percentage of appraised value and the potential…

A: Formula: Percentage of Appraised value = Appraised value x Lender's percentage

Q: What is the surety status of any grantees who have assumed the mortgage? Will an extension of time…

A: If one assumes someone’s mortgage, it indicates that one is agreeing to take on the debt. So, when…

Q: For the second mortgage application, calculate the percentage of appraised value and the potential…

A:

Q: You are considering giving a loan to a prospective commercial property investor. You are concerned…

A: Debt service coverage ratio is the ratio that tells the available cash with the firm to repay its…

Q: With regard to mortgages, how is the monthly payment including principal and interest categorized as…

A: An annuity refers to the annual payment of a debt which includes a portion of principal as well as…

Q: Mortgages can be insured? Who insures mortgages and why? Can mortgages be sold? If so, who buys…

A: YES, mortgage can be insured. Mortgage insurance is an insurance policy that protects a mortgage…

Q: When a buyer goes in to apply for a loan on a new first mortgage, what must the lender give to the…

A: In the financial terms, the loan is referred to as the lending of the funds from one party to other…

Q: With respect to using traditional lending rules to determine how much of a mortgage a borrower…

A: Since you have posted multiple questions, we will answer the first one for you. If you want a…

Q: (Remember to find the total amount paid over the life of the loan and subtract from house cost) What…

A: Loan Amortization: It is the process of paying the loan amount by making periodic payments by the…

Q: Which of the following is subject to change over the life of an adjustable-rate mortgage loan?…

A: An adjustable-rate mortgage is a mortgage where the interest rate applied on the outstanding balance…

Q: When would you would use a Personal Loan? Why would you choose a Personal Loan over other methods of…

A: “Since you have posted multiple questions, we will solve fist question for you. If you want any…

Q: Which of the following is a mortgage loan that has a fixed rate, a fixed term, and fixed payments? O…

A: The question is based on the concept of mortgages and different methods of mortgages. A mortgage is…

Q: For the second mortgage application, calculate the percentage of appraised value and the potential…

A: Workings:

Q: What is private mortgage insurance?  How does it work to protect a lender from risk?   What are the…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Banks and other lenders are required to disclose a rate called the APR. What is this rate?Why did…

A: Introduction: Annual Percentage Rate (APR) is a rate at which specified rate of interest on the…

Q: Can borrowers pay off part, or all, of loans any time that they desire?

A: No, borrowers can not make payment in part, or full loan amount at whatever time they desire to pay.…

Q: Explain the difference between a buyer assuming the mortgage and a buyer taking title “subject to”…

A: The buyer assuming the mortgage: The buyer assuming the mortgage means the purchaser takes on…

Q: The figure below shows costs for a current home mortgage versus a refinanced home mortgage.…

A: We need to identify which line describes current home mortgage and which line describes refinance…

Q: What is the total interest paid over the life of the mortgage?

A: Answer to Question: Total Interest paid over the life of the mortgage=89,984.94 (Refer Workings)…

Q: Describe the role of mortgage bankers and how they earn profits?

A: Mortgage Bankers are people or intermediaries within financial institutions who helped in the…

Q: Which of the following are reasons that the actual prepayment rate on a specific mortgage pool…

A: PSA (Public Securities Association Standard Prepayment Model) is referred to as an assumed monthly…

Q: Which of the following is true when the mortgage loan is an amortizing loan? a. At the beginning of…

A: Borrowings are the liability of the company which is used to finance the requirement of the funds.…

Q: Explain Qualified mortgages?

A: A Qualified Mortgage (QM) is a defined class of mortgages that meet certain borrower and lender…

Q: What’s the purpose of the mortgage amortization for investors

A: Amortization is dividing of mortgage loans into series of payments which constitute principal and…

Q: Which of the following is a feature of a home equity loan?   Group of answer choices a. The interest…

A: A home equity loan is like a second mortgage loan is a type of loan. Home equity loans permit…

Q: How is a home mortgage an example of Time Value of Money?  What would you expect the impact of…

A: The time value of money (TVM) is the concept that money you have now is worth more than the…

Q: What is the largest annual loan payment the lender will allow Ann to make based on the DSCR?

A: Loan Payment: These are payments made by the borrower to the lender for amortizing the amount of…

Q: You are considering giving a loan to a prospective commercial property investor. You are concerned…

A: Debt Consolidation (DSCR) is a measure of a company's cash flow to pay off current liabilities. DSCR…

Q: xplain mortgage financing and how can someone afford a mortgage loan

A: Financing involves raising funds for undertaking business activities. Business activities includes…

Q: What is calculation of Outstanding Mortgage Balance (Repayment of Mortgage)?  Please provide…

A: Outstanding Mortgage Balance refers the loan outstanding at any point in time after the loan has…

Q: Discuss mortgage loans in terms of the time value of money and loan amortization. What important…

A: Mortgage is a kind of loan which an individual takes to purchase a house.  In return of which the…

Q: If a bank client requests a loan for the acquisition of real estate, what type of loan is he/she…

A: Most clients take a home loan for purchasing real estate. For this they have to comply with certain…

Q: How much of the first payment for the mortgage described in the table will go towards interest?

A: Mortgage Payment: It is the payment made on the loan and includes principal and interest payments.…

Q: For the second mortgage application, calculate the percentage of appraised value and the potential…

A: Given : Appraised value = $127,500 Lender's Percentage = 70% Balance of first mortgage = $53,200

Mortgages

A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.

Mortgage

The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.