Actual - Real Estate

Interest only mortgage loans are becoming very popular especially for first time home buyers who request these loans due to not being able to

According to USFDA, a combination product is one composed of any combination of a drug and device; biological product and device; drug and biological product

afford the monthly payments of regular mortgage loans. What these first time home buyers ignore is the risk that these loans carry with them t

; or drug, device, and biological product and fixed dose combination would include two or more combinations of drug.

Examples of combination products may in

hat could jeopardize repayment and endanger the property exposing it to repossession due to sudden changes on the monthly payments that can ca

lude drug-coated devices, drugs packaged with delivery devices in medical kits, and drugs and devices packaged separately but intended to be used together.

use a default.

Interest Only Mortgage Loans

As opposed to regular mortgage loans which payments are composed both of capital and in

here is enormous increase in the number of combination products entering the market in the recent years. Combination products have proven advantages but fixe

terests, Interest only mortgage loans carry only interests during the first part of the repayment program. This implies that for the first few

d dose combinations are still in the process of convincing regulatory authority on their advantages over the single ingredient formulations.

Combination pro

years, the mortgage monthly payments can be kept low enough to be afforded with almost any budget.

However, at some point, the borrower need

ucts have become life saving products for the pharmaceutical companies who doesn’t have many innovative molecules in their product pipeline and have been inc

s to start repaying the capital portion of the loan. Thus, these loans are useful for those who can’t afford high monthly payments right away

easingly used in the product life cycle management. Even the companies having product patents are trying to extend their product life cycle through the combi

but know that they’ll be able in the future or that they’ll have the money needed to pay off the whole loan’s principal when the loan is due.

nation products and maximize the revenues. But the companies involved in this practice are overlooking that they are burdening the patients both economically

The Interest Rate Variation Issue

One problem that may rise when choosing variable rate mortgages is that since the payments are co

and physically. They need to rightly judge the benefits of the combination products and they have to even look at the risks involved when combining the produ

mposed fully of interests, a variation of the interest rate affects the amount of the monthly installments significantly and thus, an increase

ts. Some of the combination products were well accepted by physicians while others suffered. Companies involved in development of combination products are fi

on the interest rate can skyrocket the monthly payments leaving the borrower unable to afford them.

That’s the reason why, whenever possible,

ding difficulty in defining their combination products and facing various challenges from selecting a combination to marketing it.

Following aspects would a

you should try to apply for a fixed rate interest only loan<

dd to the challenges in developing combination products:

Which markets to tap where the combination products can do fairly well?
Which combination prod

/A> to know for sure that the interest rate will remain the same over the whole life of the loan. Thus, you’ll be able to avoid variations on

cts are meaningful and rational?
Which therapeutic categories to select?
Which Combinations can address unmet needs of the patients?
Do combin

your mortgage loan payments that could otherwise lead to defaulting on your loan.

Risk Of Default And Repossession

The problem with

tions increase the patient compliance?
What would be the developing cost?
How to tackle the risks encountered during combination product developmen

the variable monthly payments and the interest only payments for a limited period of time is that though you can have lower monthly payments

t?

As combination products don't fit into the traditional categories of drugs, medical devices, or biological products, the USFDA is in the process of devel

that are easy to afford, whenever the payments increase, you need to be able to afford the difference or else, you might default on the loan a

ping new procedures for reviewing their safety, efficacy and quality.

Professional from academic institutions, pharmaceutical industries, health care indust

nd risk repossession of the property.

Some time ago, lenders required that you show proof of a suitable income or sufficient liquid assets fo

y and representatives from various regulatory agencies are working out to design the regulatory requirements for manufacture and sale of combination products