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Mortgage Rates Tied To Libor May Face Big Increases

Mortgage Rates Tied To Libor May Face Big Increases

This is a discussion on Mortgage Rates Tied To Libor May Face Big Increases within the Mortgage Know-How forums, part of the Mortgage and Loans Forum category; One of the good side effects of the recent calamity in the credit markets has been the efforts of central ...

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Mortgage Know-How A mortgage is the transfer of an interest in property (or the equivalent in law - a charge) to a lender as a security for a debt - usually a loan of money. While a mortgage in itself is not a debt, it is the lender's security for a debt. It is a transfer of an interest in land (or the equivalent) from the owner to the mortgage lender, on the condition that this interest will be returned to the owner when the terms of the mortgage have been satisfied or performed. In other words, the mortgage is a security for the loan that the lender makes to the borrower.

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09-17-2008, 12:01 AM

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Mortgage Rates Tied To Libor May Face Big Increases

One of the good side effects of the recent calamity in the credit markets has been the efforts of central banks to hold down interest rates. A prime beneficiary has been those borrowers that had adjustable rate mortgages tied to Libor. ...

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