A real estate mortgage investment conduit (REMIC) is a type of special purpose vehicle that is used to pool together mortgage loans and then sell securities backed by those loans. The loans are typically originated by a single lender or a group of lenders and then sold to the REMIC. The REMIC issues several classes … Read more
When a deed is unrecorded, it means that the document has not been filed with the county clerk’s office. This is important because, if the deed is not recorded, the transfer of ownership is not official and the new owner may not be able to enforce their ownership rights. Unrecorded deeds can create problems if … Read more
A take-out commitment definition is a loan agreement between a lender and a borrower in which the lender agrees to provide financing for the purchase of a property at a later date. The loan is typically used to finance the purchase of a property that is not yet available for sale, such as a new … Read more
According to the Merriam-Webster dictionary, property is “a thing or group of things that is owned by someone.” In the context of real estate investing, property refers to land and the buildings on it, as well as any natural resources that may be found on the land. These may include timber, minerals, water, and so … Read more
An investment property is a real estate property purchased with the intention of earning a return on the investment, either through rental income, the future resale of the property, or both. Investment properties are usually held for long-term investment purposes and are not intended to be occupied by the owner. They are often purchased by … Read more
A timeshare is a vacation ownership interest in which multiple parties hold an undivided interest in real property and each party is granted the exclusive right to occupy a specific unit or units of the property for a specific period of time. Timeshare interests are typically sold as deeded property interests. What is the difference … Read more
A reserve fund is a fund set aside by a real estate investor to cover unexpected expenses associated with owning and operating a property. The size of the reserve fund will vary depending on the type of property and the amount of risk the investor is willing to take on. What are the 3 types … Read more
A HUD-1 form is a document that itemizes all of the charges involved in a real estate transaction. This form is typically used when a borrower is taking out a loan to purchase a property, and it itemizes the various fees and charges that the borrower will be responsible for paying. The HUD-1 form is … Read more
What is a triple net lease and what are its benefits for investors? A triple net lease is a type of lease agreement where the tenant is responsible for all the costs associated with the property, including taxes, insurance, and maintenance. This type of lease agreement can be beneficial for investors because it can provide … Read more
A residential rental property is a property that is leased or rented out to tenants for the purpose of living there. The most common type of residential rental property is a single-family home, but there are also apartments, condos, and townhouses that can be leased or rented out as well. What is the difference between … Read more
