real estate finance - full book (500 pgs)

11 12 licensing school for appraisal cpa contractors

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Unformatted text preview: . the customer shall tender its reasonable value. Tender shall be made at the location of the property or at the residence of the customer, at the option of the customer. If the creditor does not take possession of the property within 10 days after tender by the Customer, Ownership of the property vests in the customer without obligation on his part to pay for it. NOTICE OF INTENT TO PROCEED I hereby certify that I have elected not to cancel or rescind the transaction referred to on the reverse side and that I have not delivered, mailed or filed for transmission by telegram to the Creditor any notice of cancellation or rescission of that transaction. _________________________ 20 _____ Date and mail or deliver no sooner than 3 business days after date of receipt. _________________________ 20 _____ Customer’s Signature _________________________ 20 _____ (All joint owners must sign) 11-6 Licensing School for Appraisal, CPA, Contractors, Insurance, Real Estate, Notary, Nurse, Food Handlers, Tax and Securities 11: FINANCING DISCLOSURE REQUIREMENTS ADVERTISING In order to insure “truth in lending,” no real estate advertising of a creditor or real estate licensee containing credit information shall state: The rate of a finance charge (“interest rate”) unless stated as Annual Percentage Rate. (The abbreviation “APR” may be used.) Credit terms unless all of the following are stated: • • • • • • Cash price Amount of loan to be extended Required “cash down payment,” or statement that none is required Number, amount, and due dates of all payments Annual Percentage Rate Total of all payments over the term of the loan. PENALTIES Violators of the Truth in Lending law are subject to: Up to $5,000 fine and a year in prison Damages payable to borrower for twice the finance charge (not less than $100, nor more than $1,000) HOW TO CALCULATE APR To understand how the APR is calculated, let's take a simple example. Example: Assume you go to a bank and borrow $1,000 for one year at 15% interest. At the end of the year, you pay back the $1,000 plus $150 in interest. The APR is the same as the interest rate calculated as follows: Dynasty School (www.dynastySchool.com) 11-7 REAL ESTATE FINANCE APR = Interest / Money received = $150 / $1,000 = 15% If the bank collected a $50 service charg...
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This note was uploaded on 12/30/2010 for the course SOC 101 taught by Professor Zhung during the Spring '10 term at Punjab Engineering College.

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