XINNIX Mock Exam Review Rated 100%
Correct!!
(T or F): If a borrower tells you about a liability that is not listed on the credit report, it
doesn't need to be included on the loan application. - Answer False
What is the maximum seller contribution allowed for a primary residence below 75%
LTV? (FNMA/FHLMC) - Answer 9%
(T or F) DU does not consider non-occupant income as qualifying income - Answer
True
(T or F) HOA dues are included in the PITI calculation. - Answer False
Using the following information, answer the following conventional financed MI loan
question.
Sales Price = $185,000
Down Payment = 10%
Credit Score = 635
20-year Fixed
Owner-occupied
What is the Total Loan Amount and MI Factor? - Answer $169,247/1.65%
How many days must a borrower wait to close once they receive their initial
disclosures? - Answer 7
(T or F) The maximum LTV for an FHA cash-out refinance is 80%. - Answer True
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). - Answer No
(T or F) A sole proprietor's net profit or loss can be located on Schedule C of their
personal tax return - Answer True
(T or F) When using automated underwriting for a FNMA loan, DU will determine the
borrower's reverse requirement for an investment property. - Answer True
(T or F) The ATR and QM rules state that lenders must make a reasonable, good-
faith determination of a borrower's ability to repay before consummation of the
mortgage loan - Answer True
The maximum allowable ratios for an owner-occupant when using a non-occupant
co-borrower per FHLMC guidelines is _______. - Answer 35/43
(T or F) A borrower paid semi-monthly and a borrower paid bi-weekly have the same
number of pay periods per year. - Answer False
, XINNIX Mock Exam Review Rated 100%
Correct!!
(T or F) A borrower must qualify at the note rate on a temporary buydown, not the
start rate. - Answer True
(T or F) 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. - Answer False
Your borrower receives quarterly bonuses and wants to pay down their mortgage.
Their current balance is $289,900 and their interest rate is 6.625% on an interest-
only loan. What is their new monthly payment if they pay $30,000 towards the
principal balance? - Answer $1,434.87
(T or F) Loan Product Advisor (LPA) is one of the most widely used automated
underwriting systems in the mortgage industry. - Answer True
(T or F) 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. - Answer True
Using the information provided, answer the following FHA question:
Sales Price = $245,600
Interest Rate = 4.25%
30-year Fixed
Taxes = 1.5%
Homeowners Insurance = .3%
What is the PITI? - Answer ???
(T or F) A 3-Year ARM adjusts every 3 years. - Answer True
(T or F) HOA dues should be added to the PITI for the purpose of calculation ratios
when qualifying a borrower. - Answer True
(T or F) A Loan Officer can locate the summary of eligibility requirements for a loan
to be sold to a specific lender/investor in the lender specs. - Answer False
What is the qualifying rate for a 5/1 ARM with a note rate of 3.75% and 2/6 caps?
The fully-indexed rate is 6.00%. - Answer ???
Three different categories of non-US Citizens that may apply for a mortgage loan
and may or may not qualify are: - Answer Resident Aliens
Non-Resident Aliens
Foreign Nationals
Which of the following loan options would be best for a borrower looking to stay in
the home for 3 years? - Answer ???
Correct!!
(T or F): If a borrower tells you about a liability that is not listed on the credit report, it
doesn't need to be included on the loan application. - Answer False
What is the maximum seller contribution allowed for a primary residence below 75%
LTV? (FNMA/FHLMC) - Answer 9%
(T or F) DU does not consider non-occupant income as qualifying income - Answer
True
(T or F) HOA dues are included in the PITI calculation. - Answer False
Using the following information, answer the following conventional financed MI loan
question.
Sales Price = $185,000
Down Payment = 10%
Credit Score = 635
20-year Fixed
Owner-occupied
What is the Total Loan Amount and MI Factor? - Answer $169,247/1.65%
How many days must a borrower wait to close once they receive their initial
disclosures? - Answer 7
(T or F) The maximum LTV for an FHA cash-out refinance is 80%. - Answer True
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). - Answer No
(T or F) A sole proprietor's net profit or loss can be located on Schedule C of their
personal tax return - Answer True
(T or F) When using automated underwriting for a FNMA loan, DU will determine the
borrower's reverse requirement for an investment property. - Answer True
(T or F) The ATR and QM rules state that lenders must make a reasonable, good-
faith determination of a borrower's ability to repay before consummation of the
mortgage loan - Answer True
The maximum allowable ratios for an owner-occupant when using a non-occupant
co-borrower per FHLMC guidelines is _______. - Answer 35/43
(T or F) A borrower paid semi-monthly and a borrower paid bi-weekly have the same
number of pay periods per year. - Answer False
, XINNIX Mock Exam Review Rated 100%
Correct!!
(T or F) A borrower must qualify at the note rate on a temporary buydown, not the
start rate. - Answer True
(T or F) 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. - Answer False
Your borrower receives quarterly bonuses and wants to pay down their mortgage.
Their current balance is $289,900 and their interest rate is 6.625% on an interest-
only loan. What is their new monthly payment if they pay $30,000 towards the
principal balance? - Answer $1,434.87
(T or F) Loan Product Advisor (LPA) is one of the most widely used automated
underwriting systems in the mortgage industry. - Answer True
(T or F) 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. - Answer True
Using the information provided, answer the following FHA question:
Sales Price = $245,600
Interest Rate = 4.25%
30-year Fixed
Taxes = 1.5%
Homeowners Insurance = .3%
What is the PITI? - Answer ???
(T or F) A 3-Year ARM adjusts every 3 years. - Answer True
(T or F) HOA dues should be added to the PITI for the purpose of calculation ratios
when qualifying a borrower. - Answer True
(T or F) A Loan Officer can locate the summary of eligibility requirements for a loan
to be sold to a specific lender/investor in the lender specs. - Answer False
What is the qualifying rate for a 5/1 ARM with a note rate of 3.75% and 2/6 caps?
The fully-indexed rate is 6.00%. - Answer ???
Three different categories of non-US Citizens that may apply for a mortgage loan
and may or may not qualify are: - Answer Resident Aliens
Non-Resident Aliens
Foreign Nationals
Which of the following loan options would be best for a borrower looking to stay in
the home for 3 years? - Answer ???
