Building upon the previous written assignment, contractual agreements also provide methods for securing and retaining property. There are various methods in securing and retaining ownership of property or a right to ownership of the subject property. When a party fails to maintain his or her obligation under the contractual agreement, the subject property is subjected to foreclosure. This is facilitated through concepts such as title and lien theories. Each state has its own theory on this issue.
Outside of foreclosures, a buyer typically will purchase the property via various real estate finance options. In terms of real estate financing, there are multiple methods. These methods range from conventional mortgages, to government-insured loans to seller financing options. In this midterm essay assignment, you will also explore these aspects as well.
(1) Research and provide your state’s statute(s) on the foreclosure process via use of Lexis-Nexis Research Services in the KU Online Library or via your state’s online legislative website. ( My state is Florida)
(2) Answer and respond to the following in short essay format, no longer than 2 pages in length:
- What is the title and lien theory?
- What is the difference between the two theories?
- What are the advantages and disadvantages of each theory?
- Is your jurisdiction a lien theory or title theory state and how does the foreclosure process apply in this context?
- Explain the differences between FHA and VA loans, including qualifications, eligibility, etc.
- Choose four (4) types of mortgages from the following list and compare and contrast these types of mortgages.
- Growing Equity (GEM)
- Adjustable Rate (ARM) or Variable Rate Shared Appreciation (SAM)
- Purchase Money
- Graduated Payment
(3) Cite all sources of information utilized.