GhostOnTheHalfShell, 11 days ago #askfedi #RealEstate #economics This is what I think is a basic question. When a bank sells a home loan it's selling the total value of the loan, which is principal and expected total interest paid minus payments so far, right? In other words, the sale value is close to Value = Principal TotalOverLifeOfLoan PaymentsMadeSoFar https://en.wikipedia.org/wiki/Freddie_Mac
#askfedi #RealEstate #economics
This is what I think is a basic question. When a bank sells a home loan it's selling the total value of the loan, which is principal and expected total interest paid minus payments so far, right?
In other words, the sale value is close to
Value = Principal
https://en.wikipedia.org/wiki/Freddie_Mac
