Explore the five Cs of credit—character, capacity, collateral, capital, and conditions—and understand their significance in setting loan rates and terms.
An in-depth look at the back-end ratio, a key financial indicator used to assess a borrower's ability to manage monthly debt payments. Learn how to calculate it, understand its importance in lending decisions, and distinguish it from the front-end ratio.
Explore the Combined Loan-to-Value (CLTV) Ratio, its comprehensive definition, calculation formula, significance in lending, and risk assessment considerations.
A comprehensive guide to understanding the Gross Debt Service (GDS) ratio, a critical measure used by financial lenders to assess the proportion of housing debt that a borrower pays.
An in-depth look at the Housing Expense Ratio, its significance, how to calculate it, and its impact on financial health and lending decisions.
