HECM UPDATED EVALUATION TEST QUESTIONS AND SOLUTIONS RATED A.pdf

HECM UPDATED EVALUATION TEST QUESTIONS AND
SOLUTIONS RATED A+
✔✔Non-Borrowing Spouse - ✔✔Definition determined by the law of the state in which
the spouse and borrow reside. Person who is a spouse and who also is not a borrower.
Non-borrowing spouse cannot be on title of the home and cannot be on the loans

✔✔NBS - ✔✔Non-Borrowing Spouse

✔✔Qualifying NBS - ✔✔Must be married a time of loan closing and throughout duration
of the loan

NBS must establish legal ownership or ongoing legal right to remain on property within
90 days of death
NBS must occupy property as principal residence

✔✔NBS disbursements - ✔✔HTC M disbursements. Upon death

✔✔PLL Factors - ✔✔Principal Loan Limit
1. age of youngest borrower...
2. Max Claim amount...
3. EIR

✔✔PLL Lock - ✔✔120 Days from date FHA case # Assigned after borrower signs 1009
application

✔✔Mandatory Obligations - ✔✔

✔✔Max origination fees - ✔✔$6000

✔✔Minimum Origination fee - ✔✔$2500

✔✔2 types of HECM - ✔✔Fixed Adjustable

✔✔Upfront MIP Charge at 60% utilization or less - ✔✔.5%

✔✔Upfront MIP at more than 60% - ✔✔2.5%

✔✔Origination Fee Calculation - ✔✔2% of first $200k then 1% of the balan

✔✔Five PLB growth Causes - ✔✔1. Monthly MIP...
2. Accrued interest...
3. Loan adventures... 4. Line of credit draws...
5. Servicing fees