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Chapter 8 - Principles I

Pioneer School of Real Estate
Horizontales
IRS Form 8288 is used to submit FIRPTA withholdings to the IRS after a property sale involving a/an __ seller.
A real estate lien note is also known as a/an __ note.
FIRPTA considers __ aliens to be foreign persons and requires buyers to withhold taxes accordingly.
U.S. resident sellers provide their ___ to verify they are not foreign, thus exempting them from FIRPTA withholding.
A/An __ clause allows the lender to demand immediate repayment of the entire loan amount if the borrower defaults or violates other loan terms.
__ amount is the total amount of money borrowed by the borrower.
Some states allow a/an __ period during which the borrower can regain ownership by paying the full debt, even after the auction has taken place.
The __ clause details if early repayment is allowed and outlines any penalties.
__ rate is the amount accrued on the loan amount, often represented as APR.
A deed of __ is a legal document that secures a real estate loan by transferring the legal title of a property from the borrower to a neutral third party, known as the trustee, on behalf of the lender.
The third party holding the title to the property until the loan is repaid is the __.
Verticales
The Foreign Investment in Real Property Tax Act.
Under FIRPTA, the buyer is typically required to withhold __% of the property's sale price if the seller is identified as a foreign person.
The __ of sale clause allows the trustee to foreclose on the property without judicial intervention if the borrower defaults on the loan.
The __ or lender is the institution or individual providing the loan and receiving payments from the borrower.
The primary purpose of the FIRPTA Affidavit is to determine the seller's __ status and whether FIRPTA withholding is necessary.
Foreign sellers who fail to pay applicable taxes can be subject to IRS __, interest, and legal actions.
By using the property as __, the deed of trust reduces the lenders risk, enabling the loan to be offered on favorable terms.
The loan __ is the period over which the borrower is expected to repay the loan.
Late payment __ is a provision outlining any fees or penalties applied if the borrower fails to make timely payments.
The individual or entity borrowing the money and pledging the property as collateral is called the __ or borrower.