This content was created by Houtan Hormozian. This content was uploaded by Houtan Hormozian. This is a YouTube video titled "CRESTICO - Question of the day - 01-27-2025" (posted January 27, 2025). The excerpt is an English instructional Q&A segment presented by a single speaker (labeled SPEAKER A) covering real estate topics: the nature of second mortgages (answer: they typically carry higher interest rates) and broker authority to accept deposits (answer: if a broker accepts a deposit without seller authorization, they act as agent for the buyer).
Chapters
Question of the day. Question number one: Which of the following is true about a second mortgage? A. It is typically issued at a higher rate of interest. B. It cannot be used as a security instrument. C. It has priority over a first mortgage. D. It is not negotiable. The answer is A. It is typically issued at a higher rate of interest. Second mortgages carry higher risk for lenders because they're second in line after the first mortgage holder. In case of foreclosure, that means the first mortgage holder is paid in full before any remaining monies are distributed. This added exposure typically results in higher interest rates. Question number 2. Broker Oscar brought in an offer, but the listing agreement did not include an authorization to accept a deposit. Which of the following is correct? A. The authorization is implied. B. Oscar must accept the deposit. C. If Oscar accepts the deposit, he or she would do so as the agent of the buyer. None of the other options are correct. The answer is C. If Oscar accepts the deposit, he or she would do so as the agent of the buyer. If the scope of authority of a real estate broker is limited to just producing a buyer, the broker does not have the authority to collect a deposit on behalf of the seller. When an agent does collect a deposit in this case, the agent is acting as an agent for the buyer and not the seller.
