RC_LP_U_307.2 Underwriting Freddie Mac A-Minus Loans
MBA Member Price: $49.00
Nonmember Price: $79.00Purchase
This is a single-family/residential course.
Mortgage loan products are segmented in different ways:
Interest rates, fees, and prepayment penalties are proportionally based on a mortgage loan's credit investment grade or rating. As risk increases, so too do the interest rate and fees, generally speaking. Consider an A mortgage rating being prime or marginally lower in risk than those rated as A-minus, whereas a D should be considered subprime, thus representing a greater degree of risk.
Drilling further, an A-rated borrower has demonstrated the ability to manage credit, afford the payment, and satisfy asset requirements. An A-minus borrower may have less than perfect credit, may have few if any assets, or may have yet to establish the capacity to repay a mortgage. Certain factors, such as employment, credit, down payment, and reserves contribute to the layering of risk that drives the risk evaluation of a particular mortgage.
The material presented in Underwriting Freddie Mac A-Minus Loans describes mortgage loans purchased by Freddie Mac and evaluated as A-minus. The course begins with a definition of A-minus loans. Next, it looks at Freddie Mac eligibility requirements for A-minus loans. Toward the end of the course, learners are given the opportunity to practice by applying guidelines from the course to some practical scenarios.
Seat time approximately one (1) hour.