Inventors:
John W. Pilcher - New York NY, US
Christopher Francis Seay - New York NY, US
International Classification:
G06Q 40/00
Abstract:
A system and methods for the construction of a loan are provided. In an illustrative implementation, a loan is secured by a first mortgage that may be bifurcated into at least two promissory notes—a senior note and at least one junior, subordinated, Hyper-Note. In an illustrative implementation, the amounts, term maturity, rates of interest, and amortization schedules of the first mortgage loan and the at least two promissory notes can be iteratively determined according to a selected loan construction paradigm. In the illustrative implementation, the selected loan construction paradigm can require that the underlying entire first mortgage loan have an amortization schedule shorter than the resulting senior promissory note such that the resulting junior Hyper-Note receives excess debt service, primarily derived from but not limited to excess amortization paid to the first mortgage loan, to pay interest and principal to the Hyper-Note such that it is materially, or fully, amortized prior to the loan term maturity.
