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Category: Loan Pricing
  1. Who determines the price of a loan?
  2. Is there a bidding process for loans?
  3. How do I change the list price of a loan once it is posted?
  4. Can a loan asset be sold at a premium or a discount?



  1. Who determines the price of a loan?
    The member posting the listing sets the sale price of the loan asset The price set is displayed in the Ask: column and the asking price as a percentage of the oustanding balance is displayed in the Ask%: column.
    Category: Loan Pricing
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  2. Is there a bidding process for loans?
    No, this is not an auction site, and there is no mechanism to bid for a loan. To make an offer on a loan, submit an inquiry to the seller and conduct due diligence on the loan asset. Submit an offer to the seller outside of LoanMLS once you have enough information to do so. The offer and acceptance process works similar to the way Realtors conduct business on a residential property multiple listing service. Once the buyer identifies a property of interest, an offer is sent to the seller, independent of the multiple listing service.
    Category: Loan Pricing
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  3. How do I change the list price of a loan once it is posted?
    Go to the My Listings section on the menu. Select the appropriate tab for a Loan, Pool or Wanted Ad listing. Select Edit Listing. Change the Status drop down box to the appropriate designation.
    Category: Loan Pricing
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  4. Can a loan asset be sold at a premium or a discount?
    Yes. The member posting the loan asset to the system determines the price they wish to ask for the asset The Ask % field will display the price releative to the outstanding balance of the loan. For example, if an individual loan is listed for $400,000 and the outstanding balance is $500,000, the Ask% field will display 80% to indicate that the price asked for the loan is 80% of the outstanding balance of the loan. Similarly, if the balance is $500,000 and $550,000 is being asked, the ask% field will display 110%. If a loan is listed at a discount, it may be because there is either poor loan performance or little or no equity. If the loan is priced at a premium, it may be that the loan has an exceptionally good yield relative to the risk of the loan. All proceeds go directly to the seller. LoanMLS does not receive a commission or a fee from the sale of a loan or pool of loans.
    Category: Loan Pricing
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