Final answer:
The lender will want to ensure the borrower's name on an appraisal report for a refinance loan matches the current owner of record to confirm proper association with the property. Lenders also mitigate risk through income verification, credit checks, cosigners, and collateral requirements.
Step-by-step explanation:
On an appraisal report for a refinance loan, the lender will want to ensure that the name of the borrower is the same as the current owner of record. This is crucial because it confirms that the person requesting the refinance is legitimately associated with the property in question. In the context of financial transactions and risk management, lenders take various actions to reduce the uncertainty about loan repayment. These actions include requiring borrowers to provide income sources, conducting a credit check, possibly requiring a cosigner, or asking for collateral such as property or equipment which the bank can seize and sell if the loan is not repaid. Securitization can lead to less careful lending practices, wherein banks sometimes make subprime loans with minimal scrutiny.