It is fundamentally a loan that is secured against a collateral

This type of mortgage has an interest rate that is set for the term of the mortgage so that the monthly payment of principal and interest remains the same throughout the term

Also known as floating rate mortgage, it provides a lot of flexibility, especially when interest rates are on their way down

It is a new mortgage that has one or more properties as security to the amount of the loan, and the total amount of the loan is a combination of the new loan and one or more existing loans.

Refers to a special, short-term loan needed to cover the time gap when two properties, both from sales, are involved and the closing dates don’t match

It describes, explains, and encompasses the various methods in which individuals intend to purchase a home, plot of land, or other type of property.

It is a term loan that is repaid with interest, and a conventional one requires a good credit score and a decently large down payment.

Government-backed financing was created in order to allow people who may not have the resources for a traditional mortgage to obtain property. These loans are characterized by their low down payments as well as lower credit score requirements.

Real estate transactions in the Philippines are subject to various taxes and fees, including documentary stamp taxes, capital gains taxes, transfer taxes, and registration fees. Which key consideration does this refer to?

Conducting this is crucial for buyers to ensure that they are making an informed decision. This may include a physical inspection of the property, verification of documents such as the title, survey plans, and tax declarations, and investigation of any legal or environmental issues that may affect the property.

Under the Realty Installment Buyer Act (Republic Act No. 6552) or the Maceda Law, a buyer of real estate property on an installment basis has the following rights, EXCEPT.

Under the Realty Installment Buyer Act, the buyer can also sell or assign his or her right under the contract before it is canceled.

If the contract is canceled, the seller must refund the buyer the cash surrender value of the property payments equal to fifty percent of the total payments made. Those who have paid installments for five years or more will receive a ten percent bonus for each year they have paid. The total amount refundable, however, is limited to ninety-five percent.

Compute for the cash surrender value (CSV). Total payment is 1,000,000 over a period of 3 years.

It is the amount to pay back in interest when taking out a loan. It is also called money factor, payment factor, flat fee or buy rates.. It is a percentage often expressed in the form of a decimal number from 1.1 to 1.9.

There are two metrics used to describe interest payments.

LOAN TO VALUE (LTV) is the ratio of the loan to the value of an asset purchased. Compute the loan-to-value of the following: Property price is P 3,000,000. Down Payment is 30%. The loan is P 2,100,000

An investor purchased a commercial condo unit with an equity of Php1,000,000.00 and a mortgage loan of Php 8,000,000 at 6% interest rate for eight years. Compute the total amount of interest paid at the end of the eight year If the monthly payment for the loan is Php 105,131.44.

Compute the net income, given the following: rental income Php 1,000,000.00; utilities = Php 150,000.00; real property taxes = Php 100,000.00; management fee = Php 50,000.00; maintenance expenses = Php 200,000.00; interest - Php 200,000.00; income taxes = Php 100,000.00; and depreciation = Php 100,000.00.

A 100-unit apartment complex includes 60 one-bedroom and 40 two-bedroom units that are rented out for Php4,000.00 and Php7,000.00 respectively. The apartment complex has a vacancy rate of 5%, a miscellaneous income Php50,000.00 per year and an annual operating expenses of Php600,000.00. Compute the potential gross income of the apartment complex.

Client was paying a monthly amortization of P35,000 at 15% per annum. Its amortization factor is .03505, what is the amount financed by the bank? (Round-off your answer to the nearest figure).

What calculation is used to analyze real estate investments that generate income when it equals all revenue from the property minus all the necessary operating expenses?

If a home buyer takes out a loan with a loan-to-value ratio higher than 80 percent, he will often need private mortgage insurance (or “PMI”), which hedges the lender’s risk of giving a loan with a lower down payment by paying for insurance that will indemnify the bank in case of a default if the bank cannot recover its principal.

Fixed rate mortgages have level amortization schedules and monthly payments are made in the same amount each month. Under this arrangement, a loan is “fully amortized,” meaning that the balance is paid off when the last installment payment is made.

_________________ is the process of evaluating real estate investments to determine their potential for profit.

Calculate for the property value of a residential property with Net Operating Income of Php10,000,000 and capitalization rate of 5%.

It is the process of evaluating the risk and profitability of a loan request by a potential borrower. It is the process of reviewing a loan application to determine the amount of risk involved.

_____________ involves finding a suitable lender or other source of funds for a real estate project or purchase. The borrower may choose from different types of loans, such as fixed-rate, adjustable-rate, interest-only, balloon, or bridge loans, depending on their needs and preferences.

The ______ rule is more of a simple calculation that can help you determine how mortgage you could comfortably afford

When used together, the housing expense ratio is referred to as the “front-end ratio,” and the DTI ratio is referred to as the “back-end ratio.”

What is the debt to income ratio of a commercial real estate investment if the net operating income is Php8,000,000.00 and the total debt service per year is Php5,000,000.00?

 A house and lot was purchased for Php15,000,000.00. The house alone was valued at Php8,000,000. Compute the ratio of the house to the total purchase price.

Maria owns a house valued at Php5,000,000.00. What is the percentage loss of Maria if she sell her house for Php 3,500,000.00 to cover another debt?

What is the percentage applied to the FMV to determine the taxable value of the property?

A piece of property is purchased on installment. The buyer makes an P80,000 downpayment and owes a balance of P150,000 in 2 years. Find the property's cash value if money is worth 14% compounded quarterly

Mr. and Mrs. Santos have a combined gross monthly income of P 600,000. Their net monthly income after taxes and deductions is P 450,000. What is the household expense ratio if the total household expense is P 120,000.

Housing Expense Ratio is a percentage determined by dividing a borrower's housing expenses by their _______________

________________ can be calculated by total monthly debt against total gross monthly income

In the this rule, the “28” is your __________________, and the “36” is your DTI

These are alternative sources of financing, except -

Benefits that can be derived from the blanket mortgage

Interest rate charged on the bridge loan is about 2-5% below the bank’s prime.

__________________ is computed as TP (total payments) x % RF ( Percentage of refund)

To calculate the interest factor rate, just multiply the _______ by the factor rate.

It is also called money factor, payment factor, flat fee or buy rates.

The higher your credit score is, the higher the interest rate

Most loans require downpayment, the higher the downpayment, the lower the interest rate

To find the monthly loan payment, the loan formula is loan amount x i(1+i)n divided by (1+i)n -1

Find the loan payment for the following: amount of loan - P 5,000,000, interest of the loan 7% (monthly factor rate is .oo5833), term 5years

If the buyer is unable to pay the installment due within the grace period, the sale contract will only be canceled after 30 days from receipt by the buyer of a written notice of cancellation or a notarized demand for rescission of the contract.