front end ratio

Definition

One of the ratios used by lenders in judging an applicant's capacity to pay back a home mortgage loan. It is the same as the back end ratio except that installments on the loans other than the applied-for loan and not taken into account. Lower this ratio is, the better qualified the applicant is for the loan. Also called front ratio. Formula: (Installment on the applied-for loan + Monthly portion of estimated property taxes + Monthly portion of estimated property insurance premium) ÷ Gross monthly income. Also called front ratio.

单词	front end ratio
释义	front end ratio Definition One of the ratios used by lenders in judging an applicant's capacity to pay back a home mortgage loan. It is the same as the back end ratio except that installments on the loans other than the applied-for loan and not taken into account. Lower this ratio is, the better qualified the applicant is for the loan. Also called front ratio. Formula: (Installment on the applied-for loan + Monthly portion of estimated property taxes + Monthly portion of estimated property insurance premium) ÷ Gross monthly income. Also called front ratio.
随便看	ISLM Model ISM manufacturing index ISM Non-Manufacturing Index ISO 14000 Series ISO 9000 Series iso 9001 ISO currency code isolationism isometric drawing isometric projection isoquant curve Isoquant map issuance issue issue date issued business issued share capital issuer issuer identification number (IIN) issuer risk issuing bank issuing carrier italic face item item coding