Which of the following is NOT one of the components of a mortgage payment on impounded loans?

In the context of impounded loans, a mortgage payment typically includes several key components: principal, interest, property taxes, and homeowners insurance.

When a loan is impounded or escrowed, the lender collects amounts for property taxes and insurance on a monthly basis, which are then paid on behalf of the borrower when they become due. This helps to ensure that these obligations are met without requiring the borrower to pay large sums at once.

The market rate does not constitute a component of a mortgage payment. Instead, it refers to the prevailing interest rates in the market that may influence the cost of borrowing but is not a direct component of the payment itself. Therefore, identifying market rate as not being part of the mortgage payment components on impounded loans is correct; it is not something that is factored into the regular monthly payment structure like principal, insurance, or taxes.