Unit 8 Quiz
Real estate loans generally include a promissory note and a a. settlement statement b. grant deed c. purchase contract d. security instrument
security instrument
The federal agency that insures savings accounts is the a. FNMA b. FHA c. FDIC d. FHLMC
FDIC
RESPA regulates loans for which of the following? a. Multiple family dwellings b. Commercial property c. One-to-four-unit family dwellings d. Land subdivisions
One-to-four-unit family dwellings
A provision that gives the lender the right to demand full payment of a mortgage upon a sale of the property is a. an escalator clause b. a partition clause c. a due-on-sale clause d. a notice of sale
a due-on-sale clause
An instrument by which property is hypothecated to secure the payment of a debt or obligation is known as a. an encroachment b. a sheriff's deed c. a mortgage d. a reconveyance deed
a mortgage
The repayment of a loan in equal installments that includes both interest and principal reduction is referred to as a. a straight loan b. a mortgage loan c. a hard money loan d. an amortized loan
an amortized loan
The security instrument of choice in California is the a. mortgage b. grant deed c. quitclaim deed d. deed of trust
deed of trust
"The cost of using money" BEST describes a. a free market b. an open market c. interest d. credit
interest
Which of the following is NOT an institutional lender? a. mortgage company b. insurance company c. thrift d. savings and loans
mortgage company
Money is a medium of exchange as well as a measure of a. credit b. value c. investment potential d. intrinsic worth
value