Flashcards in Chapter 16: Real Estate Financing Practice Deck (30):
Which pair of terms is considered synonymous
Interim financing and construction loan
How is Fannie Mae involved with FHA loans?
Fannie Mae buys FHA loans
The type of real estate loan that allows the lender to increase the outstanding balance of the loan up to the original some in the note while advancing additional funds is the?
Open end mortgage
Loans for which use are not affected by the truth in lending the lender regulation Z?
An FHA insured mortgage loan would most likely be obtained from what lending institution?
Any qualified lending institution
Fannie Mae, Ginnie Mae and Freddie Mac have in common the purpose of?
Purchasing existing mortgage loans
Does a buyer need to be a veteran to assume a VA loan?
A mortgage broker generally offers what service?
Bringing the borrower and the lender together
The maximum amount for payments in an adjustable rate mortgage is set by the?
A borrower obtained a $7000 second mortgage loan for five years at 6% interest per annum. Monthly payments for $50. The final payment included the remaining outstanding principal balance. What type of loan is this?
Partially amortized loan
A principal distinction between the primary mortgage market in the secondary mortgage market is in the?
Origination versus the purchase of mortgage loans
A real estate loan payable in periodic installment that are sufficient to pay the principal in full during the term of the loan is called?
An extension of credit from seller to buyer to allow the buyer to complete the transaction is?
Purchase money mortgage
When compared with a 30 year payment., Taking a loan with a twenty-year payment. Would result in what?
Higher monthly payments
Quicker equity buildup
Where would a borrower most likely obtain a residential real estate mortgage loan?
Regulation Z applies to?
Personal credit transactions
In a graduated payment loan
Mortgage payments increase
The type of mortgage loan that uses both real and personal property as security is?
Which entity normally purchases mortgages in the secondary mortgage market?
A mortgage loan requires monthly payments of $175.75 for 20 years and a final payment of $5095. This type of mortgage loan is?
A balloon mortgage
In the sale and lease agreement the?
Buyer becomes the lessor
A 70-year-old homeowner has on her house for over 50 years. It has fallen into disrepair book, because she lives on a fixed income, she does not have the money to make the needed repairs. She is a considerable amount of equity in the house. What type of loan would probably best suit her needs?
Type of loan that will most likely have the lowest loan to value ratio is?
Conventional loan without PMI
A lender may protect its interest in a mortgage loan by obtaining additional security from?
Private mortgage insurance
A developer had a mortgage loan on his entire housing development. When he sold a lot to a buyer, he was able to deliver title to that lot free of the mortgage lien by obtaining a partial release. What type of loan did the developer have?
What is not associated with a VA loan
A 1% prepayment penalty
A borrower and seller have agreed to split the discount points. The sale price of the property was $125,000 and the bar were secured a 75% loan. If the lender charge for points and a 1% origination fee, how much did the borrower and the seller each pay?
What loan would be covered by the real estate settlement procedures act?
Loan for a 1 to 4 family residential property
A borrower has secured a FHA insured phone. This means that the FHA will insure who against a possible loss