The minimum lenders typically require for a dcr in office

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Reference no: EM131320453

1. Suppose the market yield on mortgages is 9.0% in bond equivalent terms (BEY, or "coupon equivalent", CEY). For the situation described in the problem above (i.e., where the BEY is 9.0%), what is the "mortgage equivalent" yield, or the "nominal" annual rate (ENAR) with monthly payments on the loan?

0.75%

8.84%

9.00%

9.38%

2. The minimum lenders typically require for a DCR in office buildings is:

0.8

1.0

1.2

1.5

Reference no: EM131320453

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