Sentences with phrase «mortgages as riskier»

In addition to this quantitative difference, mortgage lenders may also compare cash - out mortgages as riskier in a qualitative sense.

In addition to this quantitative difference, mortgage lenders may also compare cash - out mortgages as riskier in a qualitative sense.

By definition, cash - out mortgages increase your loan to value ratio, which means that a lender will view the new mortgage as a riskier proposition than a smaller mortgage loan.

Not exact matches

Home Capital Group has seen some of its riskier lending business drain away to the private, unregulated mortgage lenders — firms like Alpine Credit or the many so - called «mom - and - pop» shops which proliferated as small investors teamed up with brokers to provide short - term, non-amortized loans.

The hedge fund famously profited during the financial crisis by investing in risky mortgage securities known as collateralized debt obligations (CDOs) while also shorting them, a maneuver highlighted in Michael Lewis's book «The Big Short.»

As part of the settlement, New York - based Goldman agreed to a list of facts put together by the DoJ that stated Goldman had misled investors about the mortgage - backed securities while knowing that the repackaged loans were indeed riskier than what they had told investors.

As banks retreat from lending to more risky borrowers, nonbanks have stepped in and now make up the bulk of all mortgage issuance.

Jumbo loans are viewed as being risky for the lender because government mortgage finance groups Fannie Mae and Freddie Mac won't buy jumbo loans.

Lenders strive to generate «prime mortgages» as much as possible, because these loans are less risky and easier to sell into the secondary market.

Because Chinese banks only have a limited ability to sell off loans as securities, they don't offer risky mortgages like those that triggered the U.S. housing debacle.

As you've probably figured out, mortgage REITs are more leveraged, meaning that they're riskier investments than equity REITS.

Move from a risky loan such as an interest - only mortgage or a short - term ARM to a more stable product such as a fixed - rate mortgage.

This, in my opinion, is the real tempest in the mortgage teapot that buckets millions more loans that are still in existence today across all loan types, as risky.

Plans by the Bank of England to cap riskier mortgage lending have been hailed as an important «insurance policy» for the UK economy.

Choosing a HELOC as your second mortgage is not quite as risky as borrowing a lump sum.

Getting a second mortgage to pay off your credit cards is risky because if an emergency were to arise, you could lose your home if you used it as collateral.

Depending on your financial situation, a higher property value can eliminate the need for expensive mortgage insurance while qualifying you as a less risky borrower.

Riskier mortgages attract higher fees than for bank loans as the stakes are higher for the private lender.

The problem with the current system is that the originators of mortgages have been able to offload a large part of their risk onto unsuspecting investors, in some cases by bundling less desirable riskier loans together with solid projects and selling the whole thing as a safe investment.

As prices climb again, mortgage lending is less risky, and that has helped lenders get more comfortable with low - down - payment loans.

When you apply for a credit, whether it's an auto loan, a credit card, a mortgage or a personal loan, lenders want to know how worthy or risky you are as a borrower.

ARM loans also known as adjustable rate mortgage are risky because the monthly payments can increase.

But even with a potential pay increase, that kind of switch is seen as too risky to mortgage lenders.

Lenders strive to generate «prime mortgages» as much as possible, because these loans are less risky and easier to sell into the secondary market.

At a time when so many other types of mortgages seemed to have failed, fixed rate FHA home loans have grown in popularity as borrowers shy away from more risky alternatives.

Mortgages are among the least risky loans since lenders are able to use your home as collateral.

If lenders and credit bureaus see that apart from credit cards, you also have auto loans, mortgage and student loans which you pay off promptly, then they will see you as less risky than someone who only manages one credit card.

However, as market power shifted from securitizers to originators and as intense competition from private securitizers undermined GSE power, mortgage standards declined and risky loans proliferated.

Factors that put you at risk are making an occasional late payment, living in a high foreclosure area, and / or carrying risky debts such as an interest - only mortgage.

As an Alt - A lender, IndyMac's business model was to offer loan products to fit the borrower's needs, using an extensive array of risky option - adjustable - rate - mortgages (option ARMs), subprime loans, 80/20 loans, and other nontraditional products.

Banks pay the mortgage broker as soon as the mortgage closes so it is less risky lending to such clients.

Lenders view land loans as risky, so interest rates tend to be higher than mortgage interest rates.

Issuing bad credit mortgages is risky business as chances are high that the borrower will be unwilling or unable to repay.

A portfolio of conservative mutual funds with long - term track records ranks very very low on the risky scale, as does paying down your mortgage as quickly as possible.

Blame the government subsidy known as mortgage default insurance, which ultimately makes it less risky to lend money to someone who has only 5 % down compared to someone with 20 %.

While construction loans or bridge financing for residential new - builds qualify as residential mortgages under the Income Tax Act, from a risk perspective, these loans are riskier.

These days, these non-qualified mortgage loans aren't as risky as they were a decade ago when the housing market crashed, either.

To begin with, one of the major benefits of using a personal loan to consolidate debt is that you don't have to seek other, riskier options, such as taking out a second mortgage, filing for bankruptcy, or using an equity line of credit, to attempt to pay off your debt.

Most risky loan programs such as optional payment mortgages no longer exist, but you still have some choices when it comes to deciding which home loan is right for you.

First mortgages are generally less risky because they are the first to get repaid and the first to claim any property provided as collateralCollateral Property or assets that you pledge as a borrower as a guarantee that you will repay the loan.

Many felt it was merely predatory lending, offering risky mortgage programs at unreasonable costs, often pushing under - qualified borrowers into poorly explained loan programs such as option - arms and interest - only home loans, leaving them with mountains of debt.

A CDO is a security based on a variety of debts, such as mortgages or bonds, that can range from secure to highly risky.

These loans come cheap only because lenders deem them less of a risky investment Private lenders like issuing loans as registered mortgages as protection from the high risk posed by some borrowers.

As with most risky investments, bad credit mortgages carry a higher interest than bank mortgages do.

Private mortgage lenders are individuals or groups who accept mortgage applications and are willing to take on more risky investments because they are not governed by the same laws as institutional lenders.

Amid growing concerns about FHA reserves falling below legally required levels, FHA is preparing for more problems as its mortgage loans originated during 2007 and 2008 are in or will soon enter the most risky period for foreclosure.

Because Alt - As are viewed as somewhat risky (falling somewhere between prime and subprime), interest rates tend to be higher than those of prime mortgages but lower than subprime — somewhere around 5.5 % to 8 %, depending on the lender and the borrower's situatioAs are viewed as somewhat risky (falling somewhere between prime and subprime), interest rates tend to be higher than those of prime mortgages but lower than subprime — somewhere around 5.5 % to 8 %, depending on the lender and the borrower's situatioas somewhat risky (falling somewhere between prime and subprime), interest rates tend to be higher than those of prime mortgages but lower than subprime — somewhere around 5.5 % to 8 %, depending on the lender and the borrower's situation.

As you may already know, private lending is a risky business, and that's the main reason why most private lenders do not provide mortgages when a property isn't in good condition or if it has a high amount of existing debt.

A second mortgage is a risky way to repay your credit card debt and can lead to a larger total debt load as a result of the increased monthly payments.

As a growing portion of borrowers became riskier, mortgage instruments also followed a similar pattern.