Pass Real Estate Today

What do you guys think of the new video editing style for Pass Real Estate Today? Editing was done by the very talented Gábor Szalai. Chapter 17 Mortgage Underwriting and Borrower Qualifications

Here's a video link to yesterday's chapter 17 class: https://passrealestate.today//les/1-hour-chapter-17-video/

Be sure to attend today's class from 6:00PM - 8:00PM (PST). We will be reviewing Chapter 17 - Mortgage Underwriting and Borrower Qualifications. https://passrealestate.today//chapter-17-mortgage-underwr/ In the session, we will grasp an understanding of the Loan to Value Ratio (L/V). Definition: the lender’s examination of the borrower’s personal income as the source of funds to make the mortgage payments.

COURSE DESCRIPTION Chapter 16 add’s another layer of strength to your calculator skills with an introduction to mortgage analysis. Among other things, we examine how the owner of a property can act as the bank and grant a mortgage, known as a Vendor Take-Back Mortgage. We will also determine the market value or cash equivalent price of purchasing a mortgage from the lender’s point of view. Another version of ascertaining market value is the method of mortgage assumption ...& how to calculate the anticipated yield to the lending. Lastly, it’s critical to be aware of pre-payment penalties associated to a mortgage and how to calculate this cost to the borrower. https://passrealestate.today//chapter-16-mortgage-analysi/ RELATED MATH CHAPTERS Chapter 13 Introduction To Mortgage Finance Chapter 14 Interest Rates and Mortgages Chapter 16 Mortgage Analysis in Real Estate Practice Chapter 17 Mortgage Underwriting and Borrower Qualifications Chapter 19 Taxes on Real Property LEARNING OUTCOMES Calculating and further explanation of Vendor Take Back Mortgages) From an investor/lender’s point of view, how to calculate Market Value The cash equivalent price of purchase Mortgage Assumption calculations & concept overview Define Yield to the lender & the cost of funds advanced The borrower’s responsibility to pay mortgage prepayment penalties

COURSE DESCRIPTION In this segment, we will cover an introduction to Mortgage Law. A mortgage is an interest in land created by a contract. The relationship is that of the debtor and creditor. One very important thing to note is that a mortgage is not a loan but rather it is evidence of a debt or contract. The legal definition of all mortgages is known as a charge against the property. In addition, the first mortgage is known as the legal mortgage and subsequent mortgages are equitable mortgages. This is how people can access the equity or value in the home. Home equity is known as the difference between the market value and any mortgages or debts owed to the property. https://passrealestate.today//chapter-15-introduction-to-/

LIVE classes held every Tuesday & Thursday viz ZOOM. Contact us for details on how to participate.

484. Marissa owns a 45-year-old apartment building. All six suites are rented out at below-market rents and the current leases are not up for renewal for another two years. The apartment building is situated in a block in which all of the other apartment buildings have been torn down and replaced with office buildings. In addition, the apartment is situated on land zoned for commercial purposes. Which of the following statements is TRUE about the state of Marissa’s investment...? 1. Marissa’s apartment is not ripe for re-development. 2. The tenants’ rents will now increase. 3. Marissa’s apartment possesses latent value. 4. Marissa’s apartment is currently at highest and best use. Explanation: Question 484 Answer: 3 Option (3) is true because the apartment is in an area that is zoned for commercial use and surrounding developments are all office buildings. Given this, the apartment possesses latent value and is ripe for re-development. Option (1) is false. Option (2) is false because the tenants’ rent cannot increase until the lease renewal in two years. Option (4) is false because the apartment is not at its highest and best use if it possesses latent value. https://youtu.be/9vNFO_xKXY8

530. When preparing a market value appraisal of a single-family residence, which of the following is the least likely to be an acceptable valuation practice? 1. Rely on the owner’s information as to the type of water supply piping in the property provided that you note in the appraisal report the source of your information and that it has not been verified... 2. Ignore above-average quality of construction if the buyers and sellers in the neighborhood do not consider high-quality materials important Disregard the recent sale of a house with a similar floor plan and within the same subdivision as the subject property if it was sold without sufficient advertising 3. Rely upon the income approach as the primary method of appraisal Explanation: Question 530 Answer: 4 The correct answer is Option (4) since the income approach is more likely a primary method of appraisal for a commercial property valuation with income and expense data. All the other options are warranted. Option (3) is considered warranted, because although the two houses have similar floor plans and are in the same neighborhood, a sale without sufficient advertising may signal a non-arm’s length sale and would not be considered reliable. https://passrealestate.today/

Our program simplifies the UBC licensing content into a 56 hour training session, specifically designed for you to understand and pass your real estate exam in a fun and exciting environment.

So Very Happy!! Two of our Students wrote their exams and Passed today!! Well on their way now to becoming award winning REALTORS! Congratulations guys! You were amazing students, and a true pleasure to have in class :)

Interested in a career in Real Estate? Find out what kind of REALTOR you will be! https://www.realestateexpress.com//what-type-of-real-esta/

If you're thinking of purchasing a property in BC, you should be aware of Property Transfer Tax (PTT). Here's an overview if you're a Canadian Citizen or a Foreign Buyer. 1% on the first $200,000 of the FMV of the property; 2% on the FMV over $200,000 up to $2,000,000 3% on any portion of the FMV greater than $2,000,000; and... If the property is residential, a further 2% on any portion of the FMV greater than $3,000,000 Example: Frank sold his single family home to Joan for $3,450,000. Assuming that the sale price is the fair market value of the property, and that the Foreign Buyers Tax is NOT applicable, what is the PTT payable by Joan. 1% of $200,000 (0.01 x $200,000) = $2,000 2% of $1,800,000 (0.02 x $1,800,00) = $36,000 3% of $1,450,000 (0.03 x $1,450,000) = $43,500 2% of $450,000 (0.02 x $450,000) = $9,000 TOTAL = 90,500 Foreign Buyers Tax is an additional 20% on $3,450,000 TOTAL = 780,500 There are Numerous exemptions from PTT -Transfers of principal residences amongst related individuals -Transfers between spouses pursuant to a written separation agreement or court order under the Family Law Act -Transfers of family farms

A review and sample of the Official Community Plan (OCP). Municipalities within British Columbia have adopted a forward looking plan that outlines: residential density, location of sand, gravel, hazardous conditions, highways, sewers, water lines, public facilities and more. Join out classroom to obtain your Real Estate license in BC.