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Payment Calculations for Mortgage Backed Securities  Form

Payment Calculations for Mortgage Backed Securities Form

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in the next series of modules we're going to discuss mortgage mathematics and mortgage-backed securities we're going to look at mortgage-backed securities because they will give us an example of the process of securitization that is the process by which new securities are created from pools of underlying loans or mortgages so we're going to begin in this module with basic mortgage mathematics and an introduction to the mortgage market we called it ing to SIFMA's the securities industry and financial markets association that in the third quarter of 2012 two toadlets outstanding amount of US bonds was thirty five point three trillion dollars now if you look at this you can see that the mortgage market actually accounted for twenty three point three percent of this total so the mortgage markets are therefore huge and they played a big role in the financial crisis of 2008 and 2009 and that's one of the reasons we're going to talk about mortga

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