real estate finance - full book (500 pgs)

There are credit unions throughout the united states

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Unformatted text preview: is of the 1970s, many REITs folded under the pressures of poor management, excessive speculation, withdrawal and cancellation of take–out commitments, terminations of bank lines of credit, poor credit analysis, excess building Dynasty School (www.dynastySchool.com) 4-9 REAL ESTATE FINANCE in many parts of the country (particularly in the condominium market and in recreational projects), and sagging demand. In the 1980s, to restore confidence in the REIT, concessions worked out between REITs and the banking and securities industry slowly revived REITs. This slow revival continued until the late 1990s, when a hot stock market put a damper on REITs. By 2001, the stock market declined and some money began to flow back into REITs. MORTGAGE POOL The “mortgage pool” category is unlike the others in that it is not a type of institution but refers to mortgages grouped together as backing for marketable securities. The securities are held, in theory, by institutions from the other lender groups. Because of the large proportion of securities held by “nominees” on behalf of investors, it is not possible to apportion the pools accurately to individual investors. Pools are generally handled by trustees for the issuers, and their existence depends upon the insurance or guarantees of one of the three federally–related mortgage corporations. CREDIT UNION A credit union is a mutual, voluntary, cooperative organization of people who agree to save their money together and to make loans to each other. It is organized by members of a particular group, most commonly by coworkers through occupational or professional affiliation. There are credit unions throughout the United States, representing many millions of members. Under the 1980 Depository Institutions Deregulation and Monetary Control Act, credit unions are empowered to make all types of loans and to accept all kinds of deposits. As a result, they have expanded their coverage of the financial market and offer a wide range of real estate loans to their dep...
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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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