XINNIX GROUND COURSE FINAL
COMPLETE QUESTIONS AND
ANSWERS UPDATED ACCURATE
GUARANTEED PASS
A veteran has the ability to transfer a portion of their entitlement to another veteran. -
ANSWERSFalse
1. Gross rent may be considered effective income when an applicant is planning to rent
their current residence after closing on the purchase of their new home. -
ANSWERSFalse
Based on the following scenario, does the borrower qualify within FNMA guidelines?
PITI: $1,725 monthly
Income: $7,000
Debt: $700 car payment, $375 student loan ($2,250 balance), $170 credit card
payments ($1,530 balance - ANSWERSNo
YTD paystubs will be required from a borrower that is self-employed (Schedule C). -
ANSWERSFalse
The maximum LTV for an FHA purchase is 97%. - ANSWERSFalse
If your borrower is being relocated and needs to close in 30-days, and their spouse will
not be moving for 3 months, the spouse's income can still be used to qualify. -
ANSWERSFalse
Based on the following scenario, does the borrower qualify within the FHLMC
guidelines?
PITI: $1,375 monthly
Income: $4,950 monthly
Debt: $350 car payment, $420 student loan ($4,500 balance), $75 credit card payments
($850 balance). - ANSWERSNo
One month of the borrower's current house payment must be included when calculating
the new loan amount for a cash-out refinance - ANSWERSTrue
The qualifying rate for a 7/1 ARM is 2% above the start rate. - ANSWERSFalse
, Churning schemes usually involve falsified down payment amounts and falsified
appraisals. - ANSWERSFalse
A borrower can use a credit card to pay for their required down payment -
ANSWERSFalse
A borrower's income is a factor considered when determining the principal limit
(maximum loan amount) for a reverse mortgage. - ANSWERSFalse
A 30-year conventional loan with an 87% LTV would require 25% mortgage insurance
coverage. - ANSWERSTrue
A borrower that is self-employed (Schedule C) will typically not be required to provide a
YTD paystub. - ANSWERSTrue
Loans with an LTV >80% will typically require mortgage insurance. (FNMA/FHLMC) -
ANSWERSTrue
A fixed-rate second mortgage has the loan amount fully disbursed at closing. Monthly
payments are amortized over the term of the loan. Once the balance is paid off the
mortgage is closed. - ANSWERSTrue
A borrower must qualify at the note rate on a temporary buydown, not the start rate. -
ANSWERSTrue
A lender must notify an applicant of action taken within 30 days after receiving a
completed application concerning the lender's approval of, counteroffer to, or adverse
action on the application. - ANSWERSTrue
FNMA and FHLMC are fully backed by the U.S. Government - ANSWERSTrue
The Correspondent Lender is the "end" lender in a mortgage banker's transaction -
ANSWERSTrue
A stand alone second mortgage is obtained separately from a first mortgage. -
ANSWERSTrue
Except for high-cost areas, the maximum loan amount on a 1-unit, single family
residence is $510,400. - ANSWERSTrue
When using automated underwriting for a FNMA loan, DU will determine the borrower's
reserve requirement for an investment property. - ANSWERSTrue
COMPLETE QUESTIONS AND
ANSWERS UPDATED ACCURATE
GUARANTEED PASS
A veteran has the ability to transfer a portion of their entitlement to another veteran. -
ANSWERSFalse
1. Gross rent may be considered effective income when an applicant is planning to rent
their current residence after closing on the purchase of their new home. -
ANSWERSFalse
Based on the following scenario, does the borrower qualify within FNMA guidelines?
PITI: $1,725 monthly
Income: $7,000
Debt: $700 car payment, $375 student loan ($2,250 balance), $170 credit card
payments ($1,530 balance - ANSWERSNo
YTD paystubs will be required from a borrower that is self-employed (Schedule C). -
ANSWERSFalse
The maximum LTV for an FHA purchase is 97%. - ANSWERSFalse
If your borrower is being relocated and needs to close in 30-days, and their spouse will
not be moving for 3 months, the spouse's income can still be used to qualify. -
ANSWERSFalse
Based on the following scenario, does the borrower qualify within the FHLMC
guidelines?
PITI: $1,375 monthly
Income: $4,950 monthly
Debt: $350 car payment, $420 student loan ($4,500 balance), $75 credit card payments
($850 balance). - ANSWERSNo
One month of the borrower's current house payment must be included when calculating
the new loan amount for a cash-out refinance - ANSWERSTrue
The qualifying rate for a 7/1 ARM is 2% above the start rate. - ANSWERSFalse
, Churning schemes usually involve falsified down payment amounts and falsified
appraisals. - ANSWERSFalse
A borrower can use a credit card to pay for their required down payment -
ANSWERSFalse
A borrower's income is a factor considered when determining the principal limit
(maximum loan amount) for a reverse mortgage. - ANSWERSFalse
A 30-year conventional loan with an 87% LTV would require 25% mortgage insurance
coverage. - ANSWERSTrue
A borrower that is self-employed (Schedule C) will typically not be required to provide a
YTD paystub. - ANSWERSTrue
Loans with an LTV >80% will typically require mortgage insurance. (FNMA/FHLMC) -
ANSWERSTrue
A fixed-rate second mortgage has the loan amount fully disbursed at closing. Monthly
payments are amortized over the term of the loan. Once the balance is paid off the
mortgage is closed. - ANSWERSTrue
A borrower must qualify at the note rate on a temporary buydown, not the start rate. -
ANSWERSTrue
A lender must notify an applicant of action taken within 30 days after receiving a
completed application concerning the lender's approval of, counteroffer to, or adverse
action on the application. - ANSWERSTrue
FNMA and FHLMC are fully backed by the U.S. Government - ANSWERSTrue
The Correspondent Lender is the "end" lender in a mortgage banker's transaction -
ANSWERSTrue
A stand alone second mortgage is obtained separately from a first mortgage. -
ANSWERSTrue
Except for high-cost areas, the maximum loan amount on a 1-unit, single family
residence is $510,400. - ANSWERSTrue
When using automated underwriting for a FNMA loan, DU will determine the borrower's
reserve requirement for an investment property. - ANSWERSTrue
