REAL ESTATE FINANCE CH. 8

Borrowers usually must provide employment status for the past: - 2 years - 1 year - 3 years - 6 month

2 years

"FICO" scores generally range from: - 200-500. - 300-850. - none of these choices - 90-900.

300 - 850

Bankruptcies must be reported on the application if they have occurred within the past: - 3 years. - 7 years. - 10 years. - 15 years.

7 years

Regarding buyer/borrower $ credits agreed to in the Purchase Contract from any source including seller: - Agreed credit amounts may be reduced to maximum lender allows - Credits must be taken as a reduction in the contract purchase price - Amounts need not be disclosed to buyer's lender - All of these choices

Agreed credit amounts may be reduced to maximum lender allows

Regarding the C.A.R. Residential Purchase Agreement and Joint Escrow Instructions? A mortgage rep would have a particular interest in: - Loan Amount - Earnest Money Deposit - Escrow Time Period - All of these

All of these

Regarding the C.A.R. Residential Purchase Agreement and Joint Escrow Instructions? Which of the following clauses most affect the lender's maximum loan amount? - Appraisal contingency - Preliminary title report. - Buyer's investigation of the property - Buyer title & vesting

Appraisal contingency

Which of the following is not one of the key functions Escrow companies perform regarding loan matters? - Arranging for a preliminary title report - Allocating closings costs & prorating expenses - Determining buyer's loan qualifications - Preparing documents for signature

Determining buyer's loan qualifications

Discrimination in the loan process is prohibited by the: - Lender Ethics Act. - Federal Consumer Lending Commission. - All of these choices - Equal Credit Opportunity Act (ECOA).

Equal Credit Opportunity Act (ECOA).

A listing and accounting of all the amount involved, to whom charged or credited in sales and loan transactions is known as: - Joint Escrow Instructions - Liability Disclosure Accounting (LDA) - Escrow Final Settlement Statement - Quality Control Audit

Escrow Final Settlement Statement

Regarding loans, the URLA is also known as: - The Lenders Appraisal - Credit Score Chart - The Title Report - FNMA form 1003

FNMA form 1003

Regarding the C.A.R. Residential Purchase Agreement and Joint Escrow Instructions? - Escrow companies disregard this agreement - It includes buyer and seller sale terms and buyer financing terms. - It is the sale document mandated by the State of California - It is required when obtaining a new loan to refinance and existing loan.

It includes buyer and seller sale terms and buyer financing terms.

The purchase agreement, residence history, employment history, income records, asset information are some parts of: -The CA - RPA - Joint Escrow Instructions - Preliminary title report. - Loan Application Checklist

Loan Application Checklist

Regarding the C.A.R. Residential Purchase Agreement and Joint Escrow Instructions? Which of the following clauses would most affect lenders loan process schedule & timetable? - Buyer's investigation of property - Buyer title & vesting - Loan contingency removal period - Seller's loan amount

Loan contingency removal period

The section of the URLA that details borrowers earnings and proposed PITI: - Assets & Liabilities - Monthly Income and Combined Housing Expense Information - Employment Information - Property information & purpose of loan

Monthly Income and Combined Housing Expense Information

In the loan process the initials URLA stand for: - None of these - Unemployed Refinance Loan Act - Underwriting Residential Loan Allowance - Ultimate Rate Loss Acceptable

None of these

What is generally the difference between being "Pre-Qualified" and "Pre-Approved for a real estate loan?: - All of the answers are correct - Pre-Approved means a full loan application and documentation has been reviewed - There is no real difference just figures of speech - Pre-Qualified means a full loan application and documentation has been reviewed

Pre-Approved means a full loan application and documentation has been reviewed

A borrower's assets include all of the following, except: - savings accounts. - child support payments. - automobiles. - stocks.

child support payments.

Credit reporting agencies include all of the following factors except: - employment history and verification. - payment history and amounts owed - * Length of credit history and new credit - types of credit in use

employment history and verification.

In the loan application process, the borrower may be required to pay upfront for all except: - credit report. - preliminary title report. - loan origination fee - property appraisal.

loan origination fee

Borrower's time periods for, close of escrow, title search, contingencies, and loan processing: - occur simultaneously - are required by law - none of these - each period begins after another ends

occur simultaneously