Though it sounds wild, a state supreme court officially ruled in 1989 that a house was haunted. The judge’s exact words were “As a matter of law, the house is haunted.” This is still the final ruling on this case, and it opened up decades of legally...
HER and OER (Housing Expense Ratio and Overall Expense Ratio) are ratios used by mortgage lenders to evaluate whether a borrower can reasonably afford a proposed mortgage loan. The Housing Expense Ratio (HER) compares the borrower’s expected monthly housing expenses...
Mezzanine debt sounds a bit fancy, but it really is a less secure form of debt. Mezzanine debt is a form of financing that sits between senior mortgage debt and the property owner’s equity in the capital structure of a real estate investment. It is generally used when...
If you think an A-paper loan sounds like a good bet, you’re right. An A-paper loan, also called an A-credit loan or prime loan, is a mortgage made to a borrower who meets a lender’s highest or near-highest credit standards. A-paper borrowers generally have...
Scratch and dent loans sound like financing that’s been through a lot, but they’re actually less terrifying than they sound. Scratch and dent loans are mortgage loans that have defects or irregularities that make them difficult to sell through normal...
A clawback in the mortgage lending industry may sound a bit desperate… and, well, it sort of is. A clawback generally refers to the recovery of money that was previously paid or transferred. The term can arise in several contexts. For example, a mortgage lender or...
