09/12/2007
Mention must be made of the distinction between real rates and nominal rates.
The nominal rate is the percentage of interest that formally appears in the contract and which regulates the home loan operation. In reality, however, the effective cost of the loan is inevitably conditioned by a whole series of other factors: first of all, by various expense items (survey, review and closure expenses; collection or encashment expenses; third-party agency costs; tax and insurance expenses; othe