econ423courseobjectives12

econ423courseobjectives12 - Course Objectives Chapter 12...

Info icon This preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Course Objectives Chapter 12 Econ 423 - Financial Markets Lauren Heller, Summer 2009 Chapter 12: The Mortgage Markets Objectives By the end of this chapter, you should be able to: o Outline the history of the primary and secondary mortgage markets, and the role of economic fluctuations, government intervention, and risk in the development of these markets. o Describe the determinants of mortgage interest rates, especially with respect to current market rates, loan term, and discount points. o Compute the effective annual interest rate on mortgage loans with different quantities of discount points paid at origination. Be able to discuss a consumer's optimal choice with respect the decision to pay discount points. o Explain the variety of possibilities available with respect to mortgage loan terms, including down payments, interest rate changes, borrower qualifications, and private mortgage insurance. o Calculate the required monthly payment on a fixed rate mortgage when given the loan term and interest rate.
Image of page 1
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern