RC_LA_DA_301.4 Math for Loss Mitigation
Member Price: $49.00
Nonmember Price: $79.00
Product Code: DL2-011051-WC-WPurchase
This is a single-family/residential course.
Many of the loan counselor's decisions are based on financial calculations. These calculations answer questions about the borrower's ability to continue making monthly payments, while providing direction as to the most appropriate solution. Although technology is generally used to crunch the numbers, it is important to understand how the various numbers are calculated, what they represent, and why they are important.
Math for Loss Mitigation reviews the important financial calculations in loss mitigation. We begin the course with a look at the monthly mortgage payment and its components. Next, we describe some key indicators of default risk: the loan-to-value ratio and borrower equity, the housing-to-income ratio, and the debt-to-income ratio. Finally, we discuss the budget ratio and residual income, explaining how these are used to assess a borrower's ability to qualify for one of the loss mitigation options available today.
Seat time approximately one (1) hour.