Houtan HormozianExpert on Real Estate, Finance and PropTech

Question Of The Day | Can You Guess This Real Estate Term?

20 May 2026 · 1 min

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0:45

In this short YouTube segment, the host presents a quiz question asking viewers to name the term that describes replacing an existing contract with a new one. Four multiple‑choice options are given (Subordination, Hypothecation, Novation, Reduction). The correct answer, Novation, is announced and briefly defined: it is the replacement of an existing contract with a new one, rendering the old agreement void once the new contract is accepted. The video concludes with a call to action encouraging viewers to like the video, tag friends, message the channel, or visit the website for further engagement.

Chapters

Get ready for question of the day. What do you call the act of replacing an existing contract with a new one? A. Subordination. B. Hypothecation. C. Novation. D. Reduction. The answer is letter C. Novation is the replacement of an existing contract with a new one. Once the new contract is accepted, the old agreement is canceled and no longer valid. Learned something new? Give us a like, tag a friend, and let's keep the conversation going. Message us here or visit our website.