Discussion Questions to answer for your initial post:

  1. How does the Fed’s adjustment of the Discount Rate affect Mortgage loan rates?
  2. Describe (don’t just list) 2-3 of the "Forces" that influence Interest Rates to change? Which of these do you think have a major impact in today’s Market and why?
  3. Describe what is the function of a Promissory Note and how does the addition of a Deed of Trust work to further enhance the security of the Mortgage Loan? 
  4. Why do you think Credit Unions have become more popular as a source for Real Estate Mortgages over the past 10 years?
  5. What are the main differences between being a Mortgage Broker and a Mortgage Banker? Under what circumstances do you think would there be an advantage for a potential borrower to use a Mortgage Broker over a Conventional Bank?
  6. In the past two years our Country has seen the lowest Mortgage Interest rates in our lifetime. In your opinion, how would low interest rates effect the Supply and Demand for Housing, and given current Market conditions, would it be a better time to Buy or Sell (or both) a personal home and for an investment home? (No right or wrong answer here so give it you honest opinion).