Real Estate Finance Quiz 3

State-chartered savings and loans associations regulated by the California Department of Savings and Loans are authorized to lend up to what percent of the appraised value of the collateral for a real estate mortgage?

100%

Commercial banks tend to make loans for

Construction activities

Which of the following institutional lenders is increasing its participation in real estate finance?

Credit Union

The pension funds tend to invest in which of the following types of real estate investments?

Mortgage-backed securities

Life insurance companies become partners with project developers through the use of commercial loans called

Participation loans

All of the following sources of funds for real estate finance are considered financial intermediaries except

Sellers as lenders

Which of the following statements is true regarding life insurance companies?

They are more concerned with safety than with liquidity.

Savings institutions, major providers of home mortgage loans, are also referred to as

Thrifts

Which institutional lender has the most flexibility in mortgage lending activities?

Thrifts

The department in a commercial bank that manages relatively large quantities of money and property for their beneficiaries is the

Trust Department