HUD CERTIFICATION ANSWERS AND QUESTIONS
SURE A+
✔✔Which is an appropriate feature of a safe room? - ✔✔Few or no windows
NOTE: A safe room should have few-to-no windows, as that makes it less likely that
safety will be compromised. Rooms on the interior of the home and rooms without doors
to the outside are preferable for this same reason. The size of a room has little bearing
on whether it is an appropriate safe room.
✔✔The client and her husband purchase the home and things are fine for the first
couple of months. After the wife exhausts all her maternity benefits, their income
becomes dramatically reduced and fail to make several mortgage payments. Because
they were so embarrassed by missing their mortgage payment so soon after buying the
home, the couple has avoided speaking to their mortgage servicer, despite several
attempts by the servicer to get in touch. Now they've received a letter threatening
foreclosure. Panicked, they reach back out to the housing counselor for help.
Which characteristic of this situation makes the clients ineligible for the Fannie Mae or
Freddie Mac Flex
Modification Program?
A- The clients are in imminent default.
B- The wife is still employed while on medical leave.
C- The clients are more than 60 days past due.
D- The loan originated less than 12 months ago. - ✔✔D- The loan originated less than
12 months ago.
✔✔The clients complain that their servicer does not give them timely updates on the
status of their submitted loss mitigation packet. Which benefit of working with a housing
counselor might address this complaint?
A- Counselors are allowed to give more regular updates on a client's situation.
B- Counselors are able to force servicers to abide by rules and regulations.
C- Counselors have a better rapport with servicers than borrowers.
, D- Counselors have access to HLP, a tool which requires regular updates from
servicers. - ✔✔D- Counselors have access to HLP, a tool which requires regular
updates from servicers.
✔✔Which expense is generally considered to be a "want" as opposed to a "need"?
A- Prescription drugs
B- Mortgage insurance
C- Car insurance
D- Cable - ✔✔D- Cable
✔✔The client earns $3,000 in wages per month and will receive $700 per month in child
support, once an agreement is finalized, has $2,000 in savings. She wants to by within
6 months, and plans to obtain FHA financing, which requires a 3.5% down payment, the
average price of homes in the area is $100,000. She qualifies for a local down payment
assistance program which pays for closing costs and prepaid expenses up to $4,000.
She had a Chapter 7 bankruptcy discharged successfully 18 months ago, and she
recently paid off an auto loan and student loans, her credit score is 620, her lease
expires in two months, but
the property manager will allow for a six-month lease extension.
The client applied for a new rental unit with a lower rent in a different complex, but was
rejected. She has always paid her rent on time. Which is the most likely reason for
rejection?
A- Bankruptcy
B- Past rental history
C- Familial status
D- In - ✔✔A- Bankruptcy
NOTE: The bankruptcy is the most likely reason for denial, because it raises concerns
with landlords. There is no evidence that the new landlord has discriminated on the
basis of familial status or that the client has insufficient savings. Prior rental history was
positive.
✔✔Which tactic would be most effective to protect the client in the event of an eviction?
A- Document communications with the landlord
B- Terminate the lease before a conflict
C- Change the locks
D- Vacate the property prior to eviction - ✔✔A- Document communications with the
landlord
✔✔Which task should be included in the Client's Action Plan to aid her in her goal of
purchasing a home?
SURE A+
✔✔Which is an appropriate feature of a safe room? - ✔✔Few or no windows
NOTE: A safe room should have few-to-no windows, as that makes it less likely that
safety will be compromised. Rooms on the interior of the home and rooms without doors
to the outside are preferable for this same reason. The size of a room has little bearing
on whether it is an appropriate safe room.
✔✔The client and her husband purchase the home and things are fine for the first
couple of months. After the wife exhausts all her maternity benefits, their income
becomes dramatically reduced and fail to make several mortgage payments. Because
they were so embarrassed by missing their mortgage payment so soon after buying the
home, the couple has avoided speaking to their mortgage servicer, despite several
attempts by the servicer to get in touch. Now they've received a letter threatening
foreclosure. Panicked, they reach back out to the housing counselor for help.
Which characteristic of this situation makes the clients ineligible for the Fannie Mae or
Freddie Mac Flex
Modification Program?
A- The clients are in imminent default.
B- The wife is still employed while on medical leave.
C- The clients are more than 60 days past due.
D- The loan originated less than 12 months ago. - ✔✔D- The loan originated less than
12 months ago.
✔✔The clients complain that their servicer does not give them timely updates on the
status of their submitted loss mitigation packet. Which benefit of working with a housing
counselor might address this complaint?
A- Counselors are allowed to give more regular updates on a client's situation.
B- Counselors are able to force servicers to abide by rules and regulations.
C- Counselors have a better rapport with servicers than borrowers.
, D- Counselors have access to HLP, a tool which requires regular updates from
servicers. - ✔✔D- Counselors have access to HLP, a tool which requires regular
updates from servicers.
✔✔Which expense is generally considered to be a "want" as opposed to a "need"?
A- Prescription drugs
B- Mortgage insurance
C- Car insurance
D- Cable - ✔✔D- Cable
✔✔The client earns $3,000 in wages per month and will receive $700 per month in child
support, once an agreement is finalized, has $2,000 in savings. She wants to by within
6 months, and plans to obtain FHA financing, which requires a 3.5% down payment, the
average price of homes in the area is $100,000. She qualifies for a local down payment
assistance program which pays for closing costs and prepaid expenses up to $4,000.
She had a Chapter 7 bankruptcy discharged successfully 18 months ago, and she
recently paid off an auto loan and student loans, her credit score is 620, her lease
expires in two months, but
the property manager will allow for a six-month lease extension.
The client applied for a new rental unit with a lower rent in a different complex, but was
rejected. She has always paid her rent on time. Which is the most likely reason for
rejection?
A- Bankruptcy
B- Past rental history
C- Familial status
D- In - ✔✔A- Bankruptcy
NOTE: The bankruptcy is the most likely reason for denial, because it raises concerns
with landlords. There is no evidence that the new landlord has discriminated on the
basis of familial status or that the client has insufficient savings. Prior rental history was
positive.
✔✔Which tactic would be most effective to protect the client in the event of an eviction?
A- Document communications with the landlord
B- Terminate the lease before a conflict
C- Change the locks
D- Vacate the property prior to eviction - ✔✔A- Document communications with the
landlord
✔✔Which task should be included in the Client's Action Plan to aid her in her goal of
purchasing a home?
