REE EXAM 3- 10/22/2014 Lecture Notes!
Chapter 9 Continuation.!
The OR and EE!
*Mortgage (Deed of Trust)!
-Mortgagor: Pledges property as collateral for the loan. Is the borrower (typically the owner, but
not always!), subject to the terms and condit
REE EXAM 3- 10/20/14 Lecture Notes !
*Some effect of Mortgage Debt!
More households can own their home. It is one of the largest investments (Real estate
Investor can leverage (borrow funds) and diversity investments. !
REE 3043 11/24/14 NOTES!
The math of present value: Know how to compound and discount on your nancial calculator. !
Annuity due: Begin mode!
Annuity: End mode!
Net lease: triple net, when someone rents something from you and the tenant is responsible
REE EXAM 3-Lecture 10/27/2014 notes !
*Real Estate Settlement procedures Act (RESPA)!
-Aplies to almost all standard home mortgage loans!
-requires: standard format closing statement (HUD-1)!
-Presentation of HUD booklet explaining HUD-1 !
REE lecture 11/5/2014 and 11/10/14!
Qualied Mortgage (QM): Home mortgages class from the Dodd-Frank act that focuses on
ability to repay. probable requirements: fully amortizing generally, no longer than 30 years , fees
of no more than 3% (generally), d
Continuation of Chapter 10-EXAM 3 10/29/2014 Notes!
Interest only Mortgages- I-O with ballon for ve to seven years, ending with full payment of
principal. I-O amortizing has interest-only payments for up to fteen years, then converts to a
12/3/14 and 12/8/14 Lecture Notes!
Chapter 21- Enhancing Value through ongoing management!
What is management so important? !
-making good property acquisition and development decisions is important because they cannot
be undone easily or costlessly.!
NOV. 17 REE !
Contract for Sale: The most important document in real estate? You can have a real contract for
a property without writing but it is better to have it written. !
-determine price and terms of the transaction!
-denes property interest bei
REE 11/3/14 Lecture notes!
Chapter 11 Continuation!
*Mortgage bankers originate the loans, highly leverage:!
Sell loans Whole!
pool and securitize loans!
Three Step Process in notes from last class *!
Mortgage banker as servicer collects monthly p