Real Estate Finance Exam A+ Grade Assured Complete Solutions And Verified Answers

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Exam Solution
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Real Estate Finance I CHAMPIONS 2026 A+ GRADE ASS
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URED COMPLETE SOLUTIONS AND VERIFIED ANSWERS
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(EAE11)
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QUESTION 1 @x




The minimum downpayment on a VA loan is: (
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a) 2% of the sales price (
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b) 0% of the sales price (
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c) 3.75% of the sales price (
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d) 1% of the sales price
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ANSWER

B



QUESTION 2 @x




_________ is the process of creating a new mortgage loan. (
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a) Origination (
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b) Funding (
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c) Underwriting (
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d) Servicing *
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ANSWER

A



QUESTION 3 @x




A veteran can have more than one VA loan: (
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a) If the prior VA loan was paid in full and the property disposed of (
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b) The prior VA loan was assumed by an eligible veteran who substituted their entitl
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ement ( @x



c) A or B (
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d) Under no circumstances - a VA loan is a "once in a lifetime" benefit *
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,ANSWER

C



QUESTION 4 @x




_________ are not-for-profit organizations that exist to serve their members. (
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a) Mortgage companies (
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b) Credit unions (
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c) Insurance companies (
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d) One that cannot be financed
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ANSWER

B



QUESTION 5 @x




A qualifying ratio that compares the borrower's proposed house payment to their gro
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ss monthly income is the __________. (
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a) Back ratio (
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b) Appraisal ratio (
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c) Front ratio (
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d) Loan to value ratio
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ANSWER

C



QUESTION 6 @x




Periodic payment amounts such as principal & interest, estimated escrow, estimated
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monthly payment, and __________ must be disclosed in the Projected Payments section
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of the Loan Estimate form. (
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a) Mortgage Insurance (
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b) Homeowner's insurance (
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c) Property value (
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d) Estimated inspection cost
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ANSWER

A



QUESTION 7 @x




___________ relates to Federal Government spending. (
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a) Monetary policy (
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, b) Legislative policy (
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c) Reserve requirement (
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d) Fiscal policy
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ANSWER

D



QUESTION 8 @x




In the Closing Disclosure, prepaids include homeowner's and mortgage insurance pre
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miums, prepaid interest, property taxes, and a maximum of __________ additional items.
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(
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a) 13 (
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b) 3 (
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c) 7 (
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d) 9@x




ANSWER

B



QUESTION 9 @x




When calculating the monthly payment, the lender will add an amount equal to: (
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a) Twelve months insurance and six months taxes (
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b) 1/12 of the annual taxes and insurance (
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c) 1/12 of the annual loan amortization (
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d) An amount sufficient to create the escrow account
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ANSWER

B



QUESTION 10 @x




Which of the following is true regarding FHA loans? (
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a) An FHA loan requires a CRV (
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b) Ratios may be exceeded with compensating factors (
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c) FHA loans require a minimum 5% down payment (
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d) FHA loans are for low income borrowers only
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ANSWER

B



QUESTION 11 @x