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All Topics / The Treasure Chest / query on mortgages
Hi, I’m doing real estate finance in uni (if any of you get a chance to do it, take it! It’s really interesting).
Anyway, one of the lecture slides went on to list the most common type of mortgages but I’m kinda lost on them. Could anyone explain each one to me please?
FIXED RATE MORTGAGES
Bullet, Dutch Interest (IO)
Fully amortizing, level payment (FALP)
Constant amortization (CAM)
VARIABLE RATE MORTGAGES
scheduled (GPM)
interst indexed
inflation indexed
Thanks
Martin
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