REE-4103 Lecture Notes - Lecture 10: Resolution Trust Corporation, Federal Open Market Committee, Securitization
26 Jan 2018
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Document Summary
Real estate markets & capital markets: value influences, social influence, economic influences, governmental influences, environmental influences. Real estate markets: characteristics of real estate markets, no two parcels are physically identical, relatively few buyers and sellers, buyers & sellers may not be well informed, high transaction costs. Capital markets: capital mkt instruments (most common, bonds, stocks, mortgages, deeds of trust. The money market: fiscal policy, reserve requirement, federal discount rate, federal open market committee, money market instruments (fed funds, t-(cid:271)ills, cd"s, mu(cid:374)i(cid:272)ipal (cid:374)otes, et(cid:272). ) Sources of capital for real estate: equity, reits, partnerships, syndications. Joint ventures: pension funds, life insurance companies, debt. International equity capital: savings and loan associations, commercial banks, life insurance companies, mutual savings banks & stockholder-owned banks. Securitization of real estate investment markets: resolution trust corporation (rtc, commercial mortgage-backed securities (cmbss, collateralized mortgage obligations (cmos, real estate mortgage investment conduit (remic, principle operators in secondary mtg mkt, security vs. real estate.
