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Answered 2008-09-26 17:15:35
Conventional financing is any loan made by a lender that is not government guaranteed....such as a FHA or VA loan.
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What differentiate between conventional and Islamic financing?
conventional is changement in socity which is brought by people buy Islamic financing is a facism base.which depend on only cast.
What is the difference between interest only financing and conventional financing?
The difference between interest only financing and conventional financing is that you are able to make money without any investment on an interest only account only by depositing a maximum amount in an account which you leave for a set period of time where interest will accumulate. Conventional banking is used for more day to day banking purposes.
What is alternative financing?
Alternative financing is financing that has a higher interest rate and is not considered conventional or first tier. It is procured from lenders that charge fees and higher interest rates.
What are the benefits of using owner financing?
Owner financing is a great option for buyers who cannot get a conventional mortgage for one reason or another. Either they do not have a steady income history or they have no job.
What are the difference between interest free and conventional banking system?
difference between interest and interest free financing
3 types of real estate financing?
As far as what types of residential real estate financing that are available, there are several types of mortgage loans that one can obtain. The most common loans are FHA, VA, and Conventional loans.
What does owner will carry real estate?
owner will provide 'seller financing" a purchase money mortgage. it could be either a 1st or 2nd mortgage. Seller is willing to provide some of the financing or all of it so conventional financing(banks) are not needed. You sign a promissory note with the seller an IOU a promise to pay.
What is a Government-Backed Financing?
Government backed financing is financing that has the promise of the government standing behind it. It is different from private investor financing or bank backed financing.
Cost and benefits of debt financing and equity financing?
benefit of debt and equity financing
What are the two basic types of financing used by a corporation?
They are equity financing and debt financing.
Definition of conventional and non conventional energy?
Definition of conventional and non conventional energy
How is 203k loan different from other loans?
A 203k loan differes from a typical conventional mortgage in that it is designed to provide financing for renovations to a property as well as the purchase price or refinance of the existing loan instead of just financing the purchase of the property. Two of the conventional loan programs that work similar to the FHA 203k are the FannieMae HomeStyle and HomePath programs. In all cases these loans are 1st loans and pay off all existing loans while providing the additional renovation money.
How is conventional sources of energy different from conventional sources?
Conventional sources are the same as conventional sources.
What is financing guarantee?
financing to guarantee the loan
What are the advantages and disadvantages for AMSC to forgo their debt financing and take on equity financing?
What are the advantages and disadvantages for AMSC to forgo their debt financing and take on equity financing?
The Advantages Of Conventional Loans ?
Most people need a loan in order to buy a new house. There are several types of loans available to finance your purchase. FHA is a loan that is guaranteed by the government. This type of loan requires a lower down payment than a conventional loan. Conventional loans often require at least 5 percent of the purchase price as a down payment. There are many financial institutions that offer conventional loans. Determine which kind of financing would be best for your situation before shopping for your new home. There are benefits to obtaining a conventional loan such as lower closing costs and rates. Lenders set their own rates and if you have good credit, you could receive a lower rate than if you financed with FHA. A conventional loan often has stricter lending requirements than a FHA loan. Compare both types of loans to your financial situation to decide which loan is best for you. Conventional loans appeal to many potential buyers because they can approve your loan before you shop for your new house. This can give you greater negotiating power with the seller. You can also find lenders that offer conventional loans that will finance a portion of the closing costs into the loan. This can help control the amount of cash you must part with before you buy a new home. Keep in mind that you will pay a higher interest rate for this convenience. Conventional loans are found in credit unions, banks and savings and loan companies. You will also find these types of loans in private mortgage companies. It is important that you research all of your financing options before shopping for your new home. If you pay a high interest rate for financing your home, this can result in you paying thousands of dollars in interest payments. It is exciting to shop for a new home, but if you take the time to secure your financing options, you can save money. Buying a new home is similar to buying a new car. You want to make your financial decisions based on sensible financing options and not because you must have this new home.
What is conventional uninsured mortgage?
Candidates for conventional, uninsured loans are considered prime borrowers. They have at least a 20 percent down payment, good credit and enough income to make mortgage lenders feel safe. Lenders require insurance on loans when borrowers lack sufficient money or credit to offset the risk of financing a home.
Do you have to have private mortgage insurance?
Not all loans require mortgage insurance If you are using FHA financing, you'll need mortgage insurance regardless of the downpayment. Conventional loan financing less than 20% requires MI. On a conventional loan, you may have the option of building in the MI into your interest rate. Your rate will be higher, but at least this way it's a tax deduction in the form of mortgage interest paid. MI is still a tax deduction but not all qualify for the deduction and the deduction is due to go away 12-31-2011.
What is the Abbreviation for conventional?
conventional
Is uranium a conventional or non conventional resource?
Uranium is a conventional resource.
What are conventional and non conventional source of energy?
conventional are renewable resources
Where can I obtain information on business financing?
To find business financing you can always start by looking through the telephone book if you don't have access to the internet. Most financing companies will help you find the right financing company for you or they do their own financing.
What is the journal entry to write off financing costs?
Debit amortization of financing costCredit financing cost
What is the difference between Islamic loan and conventional banking loan?
An Islamic loan is governed by Islamic banking guidelines, popularly called Sharia Guidelines. Sharia Guidelines is the Islamic way of life for all walks of life. Broadly seen, there is not much difference in the transactions within the Conventional Banking and the Islamicfi loans or Financing but most pertinent is the way it is done i.e. the concept and the operations and the recording of the transactions. The validity of a transaction does not depend on the end result but rather the process and activities executed and the sequence thereof. If a transaction is done according to the Guidelines of Islamic Shariah it is permissible even what is achieved is no different to what it is in conventional banking. The documentation, the contracts and product structures under Islamic Loans or Financing are different from that of the conventional banks. In the verse 2:275 of the Holy Quran, Allah the Almighty has responded to the apparent similarity between a trade and interest transaction by resolutely guiding that He has permitted trade and prohibited Riba (though both the transactions may look similar). Thus the concept of Islamic financing or Islamic Loans or Participating Financing, evolves under this guidance and governed by known Sharia Guidelines.
Dealer Financing vs. Credit Union Financing?
Dealer Financing vs. Credit Union Financing Use this calculator to help you compare financing between your credit union and low interest dealer financing. A dealer rebate, usually not available when you choose low interest dealer financing, combined credit union financing, can produce a lower initial loan balance, and in many cases, a lower monthly payment. The best option depends on the price of the vehicle, the size of the rebate and the interest rates available for financing.
