Real Estate Finance I-CHAMPIONS Questions And Answers 100% Guaranteed Success.

Real Estate Finance I-CHAMPIONS Questions And Answers 100% Guaranteed Success. The minimum downpayment on a VA loan is: (a) 2% of the sales price (b) 0% of the sales price (c) 3.75% of the sales price (d) 1% of the sales price - correct answer. B _________ is the process of creating a new mortgage loan. (a) Origination (b) Funding (c) Underwriting (d) Servicing * - correct answer. A A veteran can have more than one VA loan: (a) If the prior VA loan was paid in full and the property disposed of (b) The prior VA loan was assumed by an eligible veteran who substituted their entitlement (c) A or B (d) Under no circumstances - a VA loan is a "once in a lifetime" benefit * - correct answer. C _________ are not-for-profit organizations that exist to serve their members. (a) Mortgage companies (b) Credit unions (c) Insurance companies (d) One that cannot be financed - correct answer. B A qualifying ratio that compares the borrower's proposed house payment to their gross monthly income is the __________. (a) Back ratio (b) Appraisal ratio (c) Front ratio (d) Loan to value ratio - correct answer. C Periodic payment amounts such as principal & interest, estimated escrow, estimated monthly payment, and __________ must be disclosed in the Projected Payments section of the Loan Estimate form. (a) Mortgage Insurance (b) Homeowner's insurance (c) Property value (d) Estimated inspection cost - correct answer. A ___________ relates to Federal Government spending. (a) Monetary policy (b) Legislative policy (c) Reserve requirement (d) Fiscal policy - correct answer. D In the Closing Disclosure, prepaids include homeowner's and mortgage insurance premiums, prepaid interest, property taxes, and a maximum of __________ additional items. (a) 13 (b) 3 (c) 7 (d) 9 - correct answer. B When calculating the monthly payment, the lender will add an amount equal to: (a) Twelve months insurance and six months taxes (b) 1/12 of the annual taxes and insurance (c) 1/12 of the annual loan amortization (d) An amount sufficient to create the escrow account - correct answer. B Which of the following is true regarding FHA loans? (a) An FHA loan requires a CRV (b) Ratios may be exceeded with compensating factors (c) FHA loans require a minimum 5% down payment (d) FHA loans are for low income borrowers only - correct answer. B The age of a property based upon the appraiser's assessment of the property's maintenance and upgrades is its __________. (a) Useful life (b) Market age (c) Chronological age