Barney Fletcher - GA RE School Exam
Questions with correct answers
What is the tax assessment rate for all real property in Georgia? - CORRECT ANSWER -40%
What could happen if a property is sold at foreclosure and does not bring enough money to
satisfy all of the debts secured by the property? - CORRECT ANSWER -Outstanding debts could
be pursued as a result of a deficiency judgement
When foreclosure occurs, the payment priority of most of the outstanding debts is established
by: - CORRECT ANSWER -Date of recordation
With a traditional, fully amortized loan, the interest portion of a payment due and made on the
first day of a month covers the interest for: - CORRECT ANSWER -the month prior to the month
the payment is made
What type of loan has payments of interest only with the principal paid in full at the end of the
loan period? - CORRECT ANSWER -Straight loan
If a loan balance is $125,000 and the interest rate is 8%, how much of the next payment is paid
in interest? - CORRECT ANSWER -$833.33
In a graduated payment mortgage, the ________ changes in an adjustable rate mortgage the
_______ is subject to change. - CORRECT ANSWER -Payment, interest rate
What clause allows the lender to call the loan balance due and payable because of non-
payment? - CORRECT ANSWER -Acceleration clause
The amendment that allows a lender to waive his lien priority in favor of another's is known as
the: - CORRECT ANSWER -Subordination amendment
Barney Fletcher - GA RE School Exam Questions with correct answers
, A purchase money mortgage is a loan made by: - CORRECT ANSWER -The seller in a transaction
A mortgage secured by both real and personal property is a(n): - CORRECT ANSWER -Package
Mortgage
What type of mortgage exists when the lender pays the borrower a fixed amount of money
every money? - CORRECT ANSWER -Reverse Annuity (mortgage)
The primary purpose of FHA is to _____ and the primary purpose of VA is to ________. -
CORRECT ANSWER -Insure loans; guarantee loans
In a Land Sales Contract, who retains legal title to the property? - CORRECT ANSWER -Seller
What Act has as its primary purpose to educate borrowers regarding the costs involved in a
closing so that the borrowers can shop for the best situation for them? - CORRECT ANSWER -
Real Estate Settlement Procedures Act (RESPA)
Which of the following is true regarding a borrower's mortgage payment assuming the payment
is made on time? - CORRECT ANSWER -The payment includes payment of interest for the
previous 30 days
Professional appraisals for lenders are usually made in order to: - CORRECT ANSWER -help the
lender decided whether to make a loan
If you have several comparable properties as a part of your market analysis, how do you
combine the values reached on each in order to estimate the value of the subject property? -
CORRECT ANSWER -By weighing the adjusted sales prices of the comparables and adding the
weighted dollar amount of the group
Barney Fletcher - GA RE School Exam Questions with correct answers
Questions with correct answers
What is the tax assessment rate for all real property in Georgia? - CORRECT ANSWER -40%
What could happen if a property is sold at foreclosure and does not bring enough money to
satisfy all of the debts secured by the property? - CORRECT ANSWER -Outstanding debts could
be pursued as a result of a deficiency judgement
When foreclosure occurs, the payment priority of most of the outstanding debts is established
by: - CORRECT ANSWER -Date of recordation
With a traditional, fully amortized loan, the interest portion of a payment due and made on the
first day of a month covers the interest for: - CORRECT ANSWER -the month prior to the month
the payment is made
What type of loan has payments of interest only with the principal paid in full at the end of the
loan period? - CORRECT ANSWER -Straight loan
If a loan balance is $125,000 and the interest rate is 8%, how much of the next payment is paid
in interest? - CORRECT ANSWER -$833.33
In a graduated payment mortgage, the ________ changes in an adjustable rate mortgage the
_______ is subject to change. - CORRECT ANSWER -Payment, interest rate
What clause allows the lender to call the loan balance due and payable because of non-
payment? - CORRECT ANSWER -Acceleration clause
The amendment that allows a lender to waive his lien priority in favor of another's is known as
the: - CORRECT ANSWER -Subordination amendment
Barney Fletcher - GA RE School Exam Questions with correct answers
, A purchase money mortgage is a loan made by: - CORRECT ANSWER -The seller in a transaction
A mortgage secured by both real and personal property is a(n): - CORRECT ANSWER -Package
Mortgage
What type of mortgage exists when the lender pays the borrower a fixed amount of money
every money? - CORRECT ANSWER -Reverse Annuity (mortgage)
The primary purpose of FHA is to _____ and the primary purpose of VA is to ________. -
CORRECT ANSWER -Insure loans; guarantee loans
In a Land Sales Contract, who retains legal title to the property? - CORRECT ANSWER -Seller
What Act has as its primary purpose to educate borrowers regarding the costs involved in a
closing so that the borrowers can shop for the best situation for them? - CORRECT ANSWER -
Real Estate Settlement Procedures Act (RESPA)
Which of the following is true regarding a borrower's mortgage payment assuming the payment
is made on time? - CORRECT ANSWER -The payment includes payment of interest for the
previous 30 days
Professional appraisals for lenders are usually made in order to: - CORRECT ANSWER -help the
lender decided whether to make a loan
If you have several comparable properties as a part of your market analysis, how do you
combine the values reached on each in order to estimate the value of the subject property? -
CORRECT ANSWER -By weighing the adjusted sales prices of the comparables and adding the
weighted dollar amount of the group
Barney Fletcher - GA RE School Exam Questions with correct answers
