Hypothecation - Study guides, Class notes & Summaries

What are the rules for buying on margin? Ans: Qualify for margin account Hypothecation agreement (oledge collateral) Investors equity > minimum margin requirement How do you check if a margin call will occur? Ans: (CMV - loan) / CMV >= %Margin Requirement Ans: What is the riskiest strategy for entering a foreign market? Ans: Foreign subsidiary What is the priority of creditors? Ans: Debtholders (bond, banks, etc) Preferred stockholders Common stockholders What are the 4 pill...

what is a mortgage - ANSWERA legal document that connects a promissory note with the collateral used to secure the note. hypothecation - ANSWERLegal principle that allows borrower to use property to secure debt without giving up possession of it. pledging - ANSWERgives up possession of the collateral to the lender while it serves as collateral. (e.g., Pawn shop.) mortgagor - ANSWERThe borrower who pledges real estate as collateral is the mortgagor

IACCP (MASTER TERMS) LATEST UPDATED 2024/2025 Assignment - Correct Answer Any direct or indirect transfer or hypothecation of an investment advisory contract by the assignor Who is not an Investment Advisor? - Correct Answer A Bank, Lawyer, accountant, engineer, teach whose performance of such services is solely incidental to the practice of his profession, Broker-dealer (commission only)published of any bona fide newspaper, magazine, business publication, rating systems (Moodys, etc.) Wh...

Title Theory - Answer- lender owns, borrower has equitable title Hypothecation - Answer- pledging property as collateral for a loan without giving up possession Mortgagee - Answer- Lender Mortgagor - Answer- borrower Non Judicial foreclosure - Answer- *CO: Public trustee has power to foreclose 1.Lender complains 2. Notice given 3. trustee sells after 125 days Strict foreclosure - Answer- No sale. Full legal title given to lender, loss of equity for borrower Judicial foreclo...

Utah Real Estate Class Arti Latest 2024 Chapter 1 Affixed Typically in reference to mineral, water, or surface rights, resources that go with the property are affixed. Annexation The process of personal property becoming real property. With reference to subsurface rights, annexation is adding water or mineral rights to the property. Legal tests include method of annexation, adaptability, relationship of the parties. Appurtenance Something that comes with real property. Water or a...

MD Real Estate PSI exam Latest Update Graded A+ home equity loan A loan under which a property owner uses the property as collateral and can then draw funds up to a prearranged amount against the property. Also called a home equity line of credit, or HELOC. home inspection A thorough visual survey of a property's structure, systems, and site conditions conducted by a professional. Home Mortgage Disclosure Act A federal law, implemented at its creation by Regulation C of the Fede...

Which of the following is NOT considered "Middle Housing" A) Cottage Cluster B) Townhouses C) Large multifamily homes D) Condo's - ANSWER-Large Multi-family residences Which of the following documents do not need signatures for both buyer and seller? A) Final Agency Agreement B) Title Report C) D) - ANSWER-Final Agency Agreement? Because if the seller doesn't accept the offer they are not obligated to sign Final Agency Agreement - ANSWER-Sale Agreement Types of Depr...

The federal Truth in Lending Act Answer regulates advertising with references to mortgage interest rates. Which would LEAST LIKELY be a changed circumstance that would trigger the need to provide a new GFE to a borrower? Answer The mortgage loan originator learns that the alimony the borrower receives (which was not included in her income analysis) will cease after she is remarried next month. What fact about a borrower may an underwriter take into consideration when approving a mortgag...

Champions School of Real Estate - Real Estate Finance Latest Update Rated A+ A loan unable to be sold to Fannie Mae or Freddie Mac (i.e. A sub-prime loan) Non- Conforming Loan VA Veteran's administration - assists veterans in the purchase of housing by guaranteeing loans) Seller's equity Cash price minus the loan balance A clause often found in a blanket loan allowing the borrower to obtain partial releases of specific lots by making required lump sum payments. Release Clause ...

BD acting in a principal capacity correct answers BD is the contra party to the trade (the BD is involved in the transaction as a buyer or seller) BD acting in an agency capacity correct answers BD puts the buyer and the seller together, earning a commission doing so BDs must always disclose what capacity they filled on the trade confirmation no later than the completion of the trade correct answers If acting as a broker, they disclose the amount of commission. Offering a proprietary pr...