In what sense has the investor in a residential mortgage loan granted the borrower (homeowner) a loan

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In what sense has the investor in a residential mortgage loan granted the borrower (homeowner) a loan similar to a callable bond?

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Bond Markets Analysis and Strategies

ISBN: 978-0133796773

9th edition

Authors: Frank J.Fabozzi

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Question Posted: Aug 22, 2015 07:32 AM

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In what sense has the investor in a residential mortgage loan granted the borrower (homeowner) a loan

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Prepayment risk is the risk associated with a mortgages cash flow due to pre payments More specifica...View the full answer

Bond Markets Analysis and Strategies

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