Home » ABA » CTFA » Margin on an adjustable rate mortgage is the percentage point a lender adds to the index rate to determine the rate of interest. It is important for home buyers to understand all of the following basic features of an ARM Except:
Margin on an adjustable rate mortgage is the percentage point a lender adds to the index rate to determine the rate of interest. It is important for home buyers to understand all of the following basic features of an ARM Except:
A. Adjustment period
B. Index rate
C. Payment caps
D. Marginal rate of return
Correct Answer: D
Explanation/Reference:
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