GRI - Contracts to Close (Texas) VERIFIED UPDATE

GRI - Contracts to Close (Texas) VERIFIED UPDATE What is the purpose of the secondary mortgage market? - ANSWER mortgage bankers What provides liquidity that lenders use to fund new mortgage to homebuyers? - ANSWER secondary Market the players in the real estate finance market always adhere to and specialize with LITTLE crossover? (true or false) - ANSWER false - there is a lot of crossover what is a conventional loan? - ANSWER a non-government loan what is mortgage insurance called? - ANSWER MIP - Mortgage Insurance Premium what are the benefits of a VA loan? - ANSWER 1. no down payment 2. lower interest rates (compared to conventional) 3. surviving spouses may be eligible what is the most common FHA loan? - ANSWER 203(b) what is the maximum entitlement for VA loan? - ANSWER 25% of the loan amount which is typically the same as the conforming loan limit what law encourages commercial banks to loan in their community? - ANSWER Housing and Community Development Act (CRA) what does a temporary buy down lower? - ANSWER lowers the payment, NOT the rate a permanent buy-down lowers the monthly payment for the life of the loan? (true or false) - ANSWER True lowering the monthly payment by lowering the interest rate for a predetermined period of time? - ANSWER temporary buy-down what do credit score take into account? - ANSWER 1. identifying information 2. inquires into opening new lines of credit and extending the debt further 3. public records of different types of default, such as judgments, liens, bankruptcies, and the like what triggers a revised closing disclosure and an additional three days waiting period? - ANSWER 1. the APR changes by more than 1/8% 2. the loan product changes 3. a prepayment penalty is added what will not trigger a revised closing date and an additional three day waiting period? - ANSWER a minor lender error how many members in the Broker Lawyer Committee? - ANSWER 13 members Who appoints the public memeber? - ANSWER the governor what name do you use for buyers? - ANSWER full legal name on paragraph 4 of the contract - what is the license holder disclosing? - ANSWER interest of the property if he is a trustee of the property what are some of the standard expectations? - ANSWER 1. restrictive covenants 2. utility easements 3. tide lands what insur