Option ARM Mortgage Loan definition

Option ARM Mortgage Loan. An adjustable rate Mortgage Loan, as designated in the Underwriting Guidelines, that gives the related Mortgagors three different payment options each month, which include: (i) a minimum monthly payment option, (ii) an interest-only payment option or (iii) a full principal and interest option which amortizes over 30 years or less.
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Option ARM Mortgage Loan. An Adjustable Rate Mortgage Loan with an original term to maturity of not more than thirty (30) years and with respect to which the related borrower may choose a flexible payment option each month pursuant to the terms of the related Mortgage Note.
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Option ARM Mortgage Loan. An Adjustable Rate Mortgage Loan which (i) provides the Mortgagor with multiple Monthly Payment options and (ii) may result in Negative Amortization.
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Examples of Option ARM Mortgage Loan in a sentence

  • With respect to any Option ARM Mortgage Loan or Mortgage Loan that provides for a fixed period of interest-only payments at the beginning of its term, at the end of the option period or such interest-only period, as applicable, the Monthly Payment will be recalculated so as to require Monthly Payments sufficient to amortize the Mortgage Loan fully by its stated maturity date.

  • No Mortgage Loan (other than an Option ARM Mortgage Loan) is subject to negative amortization.

  • For any Option ARM Mortgage Loan, the maximum negative amortization cap on such Mortgage Loan is 125%.

  • Other than with respect to an Option ARM Mortgage Loan, no Mortgage Loan contains terms or provisions which would result in negative amortization.

  • The Index applicable to each Adjustable-Rate Mortgage Loan or Option ARM Mortgage Loan will be indicated on the related Mortgage Loan Schedule.

  • As to any Option ARM Mortgage Loan and Rate Adjustment Date, the COFI Index or the MTA Index.

  • Other than an Option ARM Mortgage Loan, no Mortgage Loan is a Balloon Mortgage Loan.

  • No Mortgage Loan contains terms or provisions which would result in negative amortization other than an Option ARM Mortgage Loan.

  • In the case of an Option ARM Mortgage Loan, the FICO score of the related Mortgagor was at least 620 on the Origination Date.


More Definitions of Option ARM Mortgage Loan

Option ARM Mortgage Loan means an adjustable rate mortgage with flexible payment options (a) which the Mortgagor may pay an initial low rate for the initial Monthly Payments and a substantially higher rate in the later years of such Mortgage, (b) is underwritten in accordance with the Underwriting Guidelines and (c) which is the subject of a loan level Take-out Commitment with a Take-out Investor.
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Option ARM Mortgage Loan means an Adjustable Rate Mortgage Loan in respect of which the related Mortgage Note provides the Mortgagor with multiple monthly payment options.
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Option ARM Mortgage Loan means a first lien Mortgage Loan that has been originated in accordance with the Prime Underwriting Guidelines for adjustable rate mortgage loans with options for the related Mortgagor as to each Monthly Payment.
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Option ARM Mortgage Loan. A Mortgage Loan with respect to which the related Mortgagor may choose a flexible payment option each month pursuant to the terms of the related Mortgage Note, as identified on the Mortgage Loan Schedule.
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Option ARM Mortgage Loan means any adjustable rate mortgage loan with flexible payment options.
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Option ARM Mortgage Loan. An adjustable rate Mortgage Loan that (i) requires a fixed monthly payment through maturity based on the initial interest rate and an either 30 or 40 year amortization schedule, (ii) all interest accrued in excess of such initial interest rate after any adjustment date is capitalized and (iii) the borrower is not prohibited at any time from making additional payments of principal and/or interest."
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Related to Option ARM Mortgage Loan

  • ARM Mortgage Loan A Mortgage Loan pursuant to which the interest rate shall be adjusted from time to time in accordance with the related Mortgage Note.

  • REO Mortgage Loan Any Mortgage Loan which is not a Liquidated Loan and as to which the indebtedness evidenced by the related Mortgage Note is discharged and the related Mortgaged Property is held as part of the Trust Estate.

  • Jumbo Mortgage Loan is a collective reference to Jumbo Mortgage Loans (Standard Limit) and Jumbo Mortgage Loans (Specialty).

  • Wet-Ink Mortgage Loan means a Mortgage Loan which any Seller is selling to Buyer simultaneously with the origination thereof and for which the Mortgage Loan Documents have not been delivered to the Custodian.

  • Subsequent Mortgage Loan A Mortgage Loan sold by the Depositor to the Trust Fund pursuant to Section 2.08, such Mortgage Loan being identified on the Mortgage Loan Schedule attached to a Subsequent Transfer Instrument.

  • EMC Mortgage Loans Those Mortgage Loans serviced by the Company pursuant to the terms of this Agreement.

  • Eligible Mortgage Loan means, on any date of determination, a Mortgage Loan:

  • Serviced Mortgage Loan A Mortgage Loan that is not an Outside Serviced Mortgage Loan.

  • Group I Mortgage Loan A Mortgage Loan assigned to Loan Group I. All Group I Mortgage Loans have a principal balance at origination that conforms to Xxxxxxx Mac loan limits.

  • PMI Mortgage Loans The list of Mortgage Loans insured by the PMI Insurer attached hereto as Schedule II.

  • Premium Mortgage Loan Any Group 1 Premium Mortgage Loan or Group 2 Premium Mortgage Loan.

  • MERS Mortgage Loan Any Mortgage Loan registered with MERS on the MERS System.

  • First Mortgage Loan A Home Equity Loan which constitutes a first priority mortgage lien with respect to any Property.

  • Mortgage Loan shall have the meaning assigned to such term in the recitals.

  • Performing Mortgage Loan Any Mortgage Loan or Serviced Pari Passu Companion Loan that is not a Specially Serviced Mortgage Loan.

  • Group 2 Mortgage Loan Each Mortgage Loan listed on Exhibit D-2 hereto.

  • Replacement Mortgage Loan A Mortgage Loan or Mortgage Loans in the aggregate substituted by the Seller for a Deleted Mortgage Loan, which must, on the date of such substitution, as confirmed in a Request for Release, (i) have a Stated Principal Balance, after deduction of the principal portion of the Scheduled Payment due in the month of substitution, not in excess of, and not less than 90% of, the Stated Principal Balance of the Deleted Mortgage Loan; (ii) if the Replacement Mortgage Loan is a fixed rate Mortgage Loan, have a fixed Mortgage Rate not less than or more than 1% per annum higher than the Mortgage Rate of the Deleted Mortgage Loan; (iii) have the same or higher credit quality characteristics than that of the Deleted Mortgage Loan; (iv) have a Loan-to-Value Ratio no higher than that of the Deleted Mortgage Loan; (v) have a remaining term to maturity no greater than (and not more than one year less than) that of the Deleted Mortgage Loan; (vi) not permit conversion of the Mortgage Rate from a fixed rate to a variable rate; (vii) have the same lien priority as the Deleted Mortgage Loan; (viii) constitute the same occupancy type as the Deleted Mortgage Loan or be owner occupied; (ix) if the Replacement Mortgage Loan is an Adjustable Rate Mortgage Loan, have a Maximum Mortgage Rate not less than the Maximum Mortgage Rate on the Deleted Mortgage Loan, (x) if the Replacement Mortgage Loan is an Adjustable Rate Mortgage Loan, have a Minimum Mortgage Rate not less than the Minimum Mortgage Rate of the Deleted Mortgage Loan, (xi) if the Replacement Mortgage Loan is an Adjustable Rate Mortgage Loan, have a Gross Margin equal to or greater than the Gross Margin of the Deleted Mortgage Loan, (xii) if the Replacement Mortgage Loan is an Adjustable Rate Mortgage Loan, have a next Adjustment Date not more than two months later than the next Adjustment Date on the Deleted Mortgage Loan, (xiii) comply with each representation and warranty set forth in Section 7 of the Mortgage Loan Purchase Agreement and (xiv) the Custodian has delivered a Final Certification noting no defects or exceptions.

  • Group II Mortgage Loan A Mortgage Loan assigned to Loan Group II with a principal balance at origination that may or may not conform to Freddie Mac and Fannie Mae loxx xxxxts.