1.Discuss the main features of index loans and nominal loans from the standpoint of a...

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1.Discuss the main features of index loans and nominal loans from the standpoint of a borrower (someone who for example takes such a loan to finance an investment in a property). Assume in your discussion that index loans are annuitet loans and nominal loans have a fixed payment of principle schedule. Discussion should at least talk about interest rates, payment schedules (how much is paid each month of each payment plan for each loan) and the different total interest costs of such loans. This should involve the pros and cons (good and bad things) of index loans versus nominal loans. Also state the effects on index housing loans as they are set up today in regards to being tied to the consumer price index, including foreign currency effects. In what way would that differ from index housing loans being tied to the housing price index. 1.Discuss the main features of index loans and nominal loans from the standpoint of a borrower (someone who for example takes such a loan to finance an investment in a property). Assume in your discussion that index loans are annuitet loans and nominal loans have a fixed payment of principle schedule. Discussion should at least talk about interest rates, payment schedules (how much is paid each month of each payment plan for each loan) and the different total interest costs of such loans. This should involve the pros and cons (good and bad things) of index loans versus nominal loans. Also state the effects on index housing loans as they are set up today in regards to being tied to the consumer price index, including foreign currency effects. In what way would that differ from index housing loans being tied to the housing price index

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