From noss1233 at gmail.com Wed Aug 22 07:31:15 2007 From: noss1233 at gmail.com (Tommy Lee) Date: Wed Aug 22 07:31:37 2007 Subject: [Genquire-users] NUMBER ONE Success System Message-ID: http://www.noss123.com/ For older borrowers (typically in retirement), it may be possible to arrange a mortgage where neither the capital nor interest is repaid. The interest is rolled up with the capital, increasing the debt each year. These arrangements are variously called reverse mortgages, lifetime mortgages or *equity release mortgages*, depending on the country. The loans are typically not repaid until the borrowers die, hence the age restriction. For further details, see *equity release*. Interest and partial capital In the U.S. a partial amortization or balloon loan is one where the amount of monthly payments due are calculated (amortized) over a certain term, but the outstanding capital balance is due at some point short of that term. In the UK, a part repayment mortgage is quite common, especially where the original mortgage was investment-backed and on moving house further borrowing is arranged on a capital and interest (repayment) basis. Foreclosure and non-recourse lending In most jurisdictions, a lender may foreclose the mortgaged property if certain conditions - principally, non-payment of the mortgage loan - obtain. Subject to local legal requirements, the property may then be sold. Any amounts received from the sale (net of costs) are applied to the original debt. In some jurisdictions, mortgage loans are non-recourse loans: if the funds recouped from sale of the mortgaged property are insufficient to cover the outstanding debt, the lender may not have recourse to the borrower after foreclosure. In other jurisdictions, the borrower remains responsible for any remaining debt. In virtually all jurisdictions, specific procedures for foreclosure and sale of the mortgaged property apply, and may be tightly regulated by the relevant government; in some jurisdictions, foreclosure and sale can occur quite rapidly, while in others, foreclosure may take many months or even years. In many countries, the ability of lenders to foreclose is extremely limited, and mortgage market development has been notably slower. -------------- next part -------------- An HTML attachment was scrubbed... URL: http://bioinformatics.org/pipermail/genquire-users/attachments/20070822/91c7f769/attachment.html