Mortgages - financial institutions, Finance Basics

Assignment Help:

Mortgages - Financial Institutions

An arrangement of the property being purchased provides the security for funding. Other assets may be employed like security for funding of another asset.

Features

1. Mortgagee and Mortgagor agree at a long term financing arrangement

2. Financing relates to acquisition of exact asset

3. Mortgagor provides a contribution that is paid up-front.

4. Repayment is over exacted long term duration.

5. Interest rate is stated with provision for variations of the determination of the finance.

Difficulties in mortgage arrangements

1. Initial contribution is not affordable by majority of the population as like Nyayo Highrise

2. Estate.

3. Potential participants ignore getting tied upon in long term loans

4. Experiences along with mortgage arrangements have been discouraging.

5. Interest rate fluctuations create planning uncertain.


Related Discussions:- Mortgages - financial institutions

Finance, the real risk-free rate of interest is 4%. inflation is expected t...

the real risk-free rate of interest is 4%. inflation is expected to be 2% this year and 4% during the next 2 years. assume that the maturity risk premium is zero. what is the yield

Disadvantages of payback period, Disadvantages of Payback Period 1. Do...

Disadvantages of Payback Period 1. Does not receive into account time value of money and supposes that a shilling obtained in the 1 st year and in the N th year have the sim

Cash management techniques, Cash Management Techniques The basic strat...

Cash Management Techniques The basic strategies that must be employed via the business firm in managing its cash are as: i) To pay account payables as behind as possible wi

Determine inventories of a firm, A firm's current ratio is 1.5, and its qui...

A firm's current ratio is 1.5, and its quick ratio is 1.0. If its current liabilities are $10,000, what are its inventories?   a Current Ratio

Finance 504, What role do primary financial markets play in our economy? Wh...

What role do primary financial markets play in our economy? What role do secondary markets fill? Describe the relationship that exists between financial institutions and financial

Debt finance, Debt Finance Debt finance is a fixed return finance like...

Debt Finance Debt finance is a fixed return finance like the cost as interest is fixed on the par value as face value of debt. This is ideal to require if there's a strong equ

Maximum price of uniformed bonds, Say that a buyer of bonds values good bon...

Say that a buyer of bonds values good bonds at $500 and values bad bonds at $250. Sellers of both good and bad bonds value them at $350. If the fraction of good sellers and bad s

Unbiased Expectations Theory, What is the one-year Treasury security rate o...

What is the one-year Treasury security rate of 1R1? For 1R3=11%, E(2r1)= 4% and E(3r1)=5%

Stock market index, Stock Market Index Definition of Stock Market Ind...

Stock Market Index Definition of Stock Market Index An index is a numerical figure that measures relative change in variables between two type of durations. Examples

Define financial factors that influence value of a business, List and expla...

List and explain the three financial factors that influence the value of a business. Ans: The three issues that influence the value of a firm's stock price are cash flow , ti

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd