2.2

Question 0

A ________ is another name for “loan originator”.

Answer 0

loan officer

Question 1

A _______, or note shows the terms and obligations of the mortgage loan.

Answer 1

loan contract

Question 2

A ________ banker is a lender large enough to originate loans and create loan pools that can be resold.

Answer 2

mortgage

Question 3

______ loans are kept by lenders instead of selling them to a secondary market.

Answer 3

Portfolio

Question 4

Lenders who sell their loan funds to mortgage brokers at a lower cost than what the broker charges to the general public are known as _________ lenders.

Answer 4

wholesale

Question 5

The __________ is a document from lending sources that lists the interest rates being offered to loan originators.

Answer 5

rate sheet

Question 6

The _________ premium is a fee that the lender will pay the mortgage broker for originating the loan.

Answer 6

yield spread

Question 7

The ______ pays the yield spread premium to the mortgage broker.

Answer 7

lender

Question 8

A _________ is a computerized evaluation of credit worthiness.

Answer 8

credit score

Question 9

A loan _______ is a title that loan originators commonly use.

Answer 9

officer

Question 10

A portfolio loan is when a lender keeps a loan instead of _______ it.

Answer 10

selling

Question 11

Mortgage broker companies _______ loans for wholesale lending institutions.

Answer 11

originate

Question 12

Wholesale _______ work with mortgage brokers.

Answer 12

lenders

Question 13

The _______ pays the yield spread premium to the mortgage broker.

Answer 13

lender

Question 14

Another name for a loan contract is a _______.

Answer 14

note

Question 15

A _______ rate mortgage has the same interest rate for the entire length of specific term.

Answer 15

fixed

Question 16

A/an _________ rate mortgage has an interest rate that is tied to a financial market index, and it changes based on the state of the economy.

Answer 16

adjustable

Question 17

A ______ mortgage carries a fixed interest rate for a specified portion of the term, and an adjustable rate for the remainder.

Answer 17

hybrid

Question 18

There are three main types of real estate mortgage lender: mortgage bankers, mortgage brokers and ________ lenders.

Answer 18

wholesale

Question 19

Another name for a mortgage note is a ________.

Answer 19

loan contract

Question 20

YSP is an acronym for _______.

Answer 20

yield spread premium

Question 21

When YSP points are shown in parenthesis, it means that the corresponding interest rate is _______ par.

Answer 21

below

Question 22

Explain to your buyers that they are not paying the YSP fee to the mortgage company; the _____ is paying it.

Answer 22

lender

Question 23

Pre-approval requires that an actual loan application be submitted to the _______ department at the chosen mortgage company.

Answer 23

underwriting