Multiple Choice
Which of the following is FALSE regarding negative amortization?
A) It can result in a decrease to the borrower's equity in the property
B) It usually increases default risk
C) It usually has a lower interest rate than a conventional loan
D) It usually results in a lower DCR
Correct Answer:

Verified
Correct Answer:
Verified
Q27: An investment has the following characteristics: ATIRR<sub>P</sub>:
Q28: A property is financed with an 85%
Q29: Everything else equal,the loan balance on a
Q30: A property is financed with a 75%
Q31: Lenders for income-producing properties refer to loans
Q32: All other things being equal,which of the
Q33: When constructing a convertible mortgage,the lender will
Q35: If a property has positive leverage,the owner
Q36: A loan in which the lender receives
Q37: If properly constructed,and assuming everything but the