Amortization of loans occurs when the borrower makes fixed monthly payments to the lender. These payments include principal and interest, and the loan balance decreases as the borrower makes these payments. Real estate professionals who are unfamiliar with the amortization …
A tie in agreement is when a seller refuses to sell unless the purchaser purchases another product or service tied into the transaction. Tie in agreements are illegal, and all real estate professionals must avoid them at all costs. Luckily, …
Group boycotts are when two or more competitors agree to conspire against another competitor by no longer working with them. Real estate professionals who engage in group boycotts lose millions of dollars and even risk spending time in jail. As …
The secondary market is where investors trade previously owned mortgages and mortgage-backed securities. Whether you’re a real estate novice, a real estate pro, or want to learn more about secondary markets, you’re in the right place. I’ve been teaching real …
The mortgage industry is a major financial sector in the U.S. It establishes various organizations and programs to promote mortgage lending and to offer affordable home financing. These programs include Fannie Mae, Ginnie Mae, and Freddie Mac. The government-sponsored organizations …
There are government-backed organizations that perform various roles to make it easier for people to obtain homeownership at reasonable rates. With the help of these organizations, lenders, investors, and bank regulators invest more in mortgages by purchasing and issuing them. …