Mortgage-Backed Securities I

Part I of the introduction to mortgage-backed securities

FBN’s Adam Shapiro on what’s behind the recent rise in the 30-year mortgage rate.

25 Responsesto “Mortgage-Backed Securities I”

  1. whitefly1 says:

    Your example is wrong.

  2. felipeossa says:

    I like teenage-backed securities more than mortgage backed ones. Check out “Genius Trust.”

  3. TheRenaissanceYngMan says:

    fannie mae and freddie mac are no longer listed on the nyse

  4. TheRenaissanceYngMan says:

    fannie mae and freddie mac are no longer listed on the nyse

  5. thegoonist says:

    @yowmer WTH?! so with most of these housing loans the total sum you end up paying is like what….TWICE the principal? (100k X 10 + 1M = 2M?)

  6. thegoonist says:

    anyone know why we cant just pay the developer of the property directly (in installments)? why go to the middleman (the bank), obtain a loan, pay the developer, then pay the bank the interest?

  7. financialservices123 says:

    Awesome video – you can see more of this at imageron (dot) com

  8. medoazouz says:

    I think why the mortgagor bank doesn’t do the whole process rather than pass it to the investment bank is because it wants to make the mortgage under a separate entity that has its own credit rating, so the rating will be higher than the mortgagor rating itself. Am I right?

    thanks

  9. maskware says:

    there is a mistake in your presentation, $1M at 10% means you have to pay $1.1k. If you make a credit on 10 years it means each year you have to pay 110.000$

  10. netbasis says:

    NetBasis and cost basis reporting on Money For Breakfast…new tax legislation in 2011 – you will all be accountable for accurate cost basis reporting

  11. gabriellamariee says:

    YOU ARE THE BEST !

  12. yowmer says:

    @speculatorMan not really. What Sal is saying is that when you take out an interest only mortgage you don’t pay any of the capital back until the end of term (which in this case is 10 years) and so every year you pay back the interest on the $1m that you borrow which is $100k. This means you pay back $100k every year for the 10 years but then at the end of the term you still need to pay the amount you originally borrowed so the payment in year 10 is $1m + $100k. Hope this helps.

  13. thegoonist says:

    @speculatorMan yea thats what i thought too…can someone clarify?

  14. kgmahabir says:

    I LOVE YOU!!!!!!

  15. speculatorMan says:

    in the beggining sal says that you will pay $100k per year, so in 10 years it will result in $1M
    shouldn’t it be $110k per year to result in $1.1M in the end of those 10 years?(110k x 10 = 1100k)

  16. ghostlaw1980 says:

    R we only capable of passing greed laws at this point. I want a mortgage that is adjustable. Adjustable to fair market value. My grandfather took out a loan 50 years ago to start a business. They gave him ten years to repay it. He repaid it in one year. The next year he bought a house free and clear. To all the BMW driving pinto owners, your getting what you bought. Insecurity. I want what I pay for.

  17. asarualim999 says:

    not first

  18. djlohan1 says:

    could i be secound bank for 2 minits and ream about these billions of dollarsssssss….aaaaaaaaaaaaa

  19. donni2121 says:

    wow thats great! thank you very much

  20. ed1962 says:

    Just wrote up 4 pages of notes>>>Watched these videos>>>Re-wrote the lot.

    shiiiiiiiiiiiiiiiiiiiiiiiiit. thanks so much.

  21. chubbychilli says:

    A milllion from ur uncle!!! I WISH! :)

  22. francbiya1 says:

    man i like your stuff is great.

  23. DeanWegner says:

    Nice!!!!

  24. 2fuck2shit2 says:

    What is the Key disfavors by Having Your Mortgage

    realmortgagepaid.blogspot. com

  25. Lunatic4ever says:

    really loved this one,great thing bro