Fichas
Week P Cue Cards
Fichas del conjunto (8)
- 1Two types of directive real estate investmentsDirect: Purchase whole/part of property
Indirect: Invest in financial product whose performance is linked to property - 2Define Equity ReitCompany that owns/operates income producing properties
- 3A diversified pool consists of only Offices T/FFalse
Distinctive focuses on offices
Diversified does Offices, Apartments, Malls, hotels etc. - 4REITs use rental income generated from properties to pay cash return to unit holders T/FTrue
- 5Mortgage REITs Purchase existing mortgages or MBS (Revenues are generated by interested earned on loans) T/FTrue
- 6REITs cannot provide a tax shelter as depreciation cannot be passed to investor T/FFalse
They do provide tax shelter when depreciation is passed to investor - 7What is a subprime mortgage?Mortgage granted to individuals with poor Credit Ratings
- 8What are Mortgage Brokers for? Who pays them?They help the buyer find the right mortgage with the right mortgagee. Intermediaries usually pay them as they bring in business.