Real Estate Finance Champions Questions & Answers 100% Correct!

Origination - ANSWERThe process of creating a new mortgage loan, including all steps taken by a lender to attract and qualify a borrower Credit reports will be ordered, in most cases from all three major national credit reporting agencies: - ANSWERExperian, Equifax, and TransUnion Not all creditors will report to all three, they will - ANSWEREach reporting agency will report a different credit score for the borrower Underwriting - ANSWERThe detailed process of evaluating a borrower's loan application to determine the risk involved for lender Fiscal Policy - ANSWERWhich relates to Federal Government spending. Government spending is approved by the U.S. Congress The Federal Reserve: 1913 - ANSWERIs a central banking system of the US Federal Fair Housing Statues - ANSWERProhibit housing discrimination based on race, color, national origin, sex, religion, families with children, and disabilities All residential mortgage loan originators must be registered with - ANSWERthe Nationwide Mortgage Licensing System and Registry (NMLSR) Texas Department of Housing and Affairs (TDHCA) - ANSWERAn agency responsible for affordable housing, housing related and community service programs, and the regulation of the state's manufactured housing industry Yield - ANSWERThe return that represents the money earned on an investment The two major purchasers of mortgages in the secondary market are: - ANSWERFannie Mae and Freddie Mac Freddie Mac - ANSWERIs a federally chartered corporation established as the Federal Home Loan Mortgage Corporation (FHLMC) in 197 for the purpose of purchasing mortgages in the secondary market Primary Market - ANSWERWhere borrowers and mortgage lenders come together to create and negotiate terms of a mortgage transaction Commercial banks are active in _________. While the majority of their loans are sold in the ________, many of them are retained as ________. - ANSWERResidential mortgage lending, secondary market, portfolio loans Credit unions are: - ANSWERNon-for-profit organizations that exist to serve their members. They accept deposits and make loans Credit Unions focus: - ANSWEROn providing a safe place to save and borrow at reasonable rates. Unlike banks, they return surplus income to their members in the form of dividends The money that mortgage companies use to make loans come from the sale of ________, which is considered a business transaction, not a savings account deposit procedure. - ANSWERBonds Government entities regularly sell bonds to - ANSWERFund major capital investments Advantage of municipal bonds is - ANSWERThat the interest paid to investors is not s