Mock Exam Review questions and answers latest top score.

Mock Exam Review questions and answers latest top score. (T or F): If a borrower tells you about a liability that is not listed on the credit report, it doesn't need to be included on the loan application. - correct answers.False What is the maximum seller contribution allowed for a primary residence below 75% LTV? (FNMA/FHLMC) - correct answers.9% (T or F) DU does not consider non-occupant income as qualifying income - correct answers.True (T or F) HOA dues are included in the PITI calculation. - correct answers.False Using the following information, answer the following conventional financed MI loan question. Sales Price = $185,000 Down Payment = 10% Credit Score = 635 20-year Fixed Owner-occupied What is the Total Loan Amount and MI Factor? - correct answers.$169,247/1.65% How many days must a borrower wait to close once they receive their initial disclosures? - correct answers.7 (T or F) The maximum LTV for an FHA cash-out refinance is 80%. - correct answers.True Based on the following scenario, does the borrower qualify within the FHLMC guidelines? PITI: $1,375 monthly Income: $4,950 monthly Debt: $350 car payment, $420 student loan ($4,500 balance), $75 credit card payments ($850 balance). - correct answers.No (T or F) A sole proprietor's net profit or loss can be located on Schedule C of their personal tax return - correct answers.True (T or F) When using automated underwriting for a FNMA loan, DU will determine the borrower's reverse requirement for an investment property. - correct answers.True (T or F) The ATR and QM rules state that lenders must make a reasonable, good-faith determination of a borrower's ability to repay before consummation of the mortgage loan - correct answers.True The maximum allowable ratios for an owner-occupant when using a non-occupant co-borrower per FHLMC guidelines is _______. - correct answers.35/43 (T or F) A borrower paid semi-monthly and a borrower paid bi-weekly have the same number of pay periods per year. - correct answers.False (T or F) A borrower must qualify at the note rate on a temporary buydown, not the start rate. - correct answers.True (T or F) If your borrower is being relocated and needs to close in 30-days, and their spouse will not be moving for 3 months, the spouse's income can still be used to qualify. - correct answers.False Your borrower receives quarterly bonuses and wants to pay down their mortgage. Their current balance is $289,900 and their interest rate is 6.625% on an interest-only loan. What is their new monthly payment if they pay $30,000 towards the principal balance? - correct answers.$1,434.87 (T or F) Loan Product Advisor (LPA) is one of the most widely used automated underwriting systems in the mortgage industry. - correct answers.True (T or F) A lender must notify an applicant of action taken within 30 days after receiving a completed application concerning the lender's approval of, counteroffer to, or adverse action on the application. - correct answers.True Using the information provided, answer the following FHA question: Sales Price = $245,600 Interest Rate = 4.25% 30-year Fixed Taxes = 1.5% Homeowners Insurance = .3% What is the PITI? - correct answers.??? (T or F) A 3-Year ARM adjusts every 3 years. - correct answers.True (T or F) HOA dues should be added to the PITI for the purpose of calculation ratios when qualifying a borrower. - correct answers.True