McKissock - Basic Appraisal Principles- GA Ch.11 Questions and Answers Graded A+

McKissock - Basic Appraisal Principles- GA Ch.11 Questions and Answers Graded A+ The principal operators in the secondary mortgage market include pension funds, insurance companies, corporate investors Fannie Mae, Freddie Mac, Ginnie Mae Fannie Mae, Sallie Mae, Ginnie Mae FHA, VA, USDA Fannie Mae, Freddie Mac, Ginnie Mae True or False? Fannie Mae and Freddie Mac are now defunct. false 0:03 / 0:15 Fannie Mae purchases ______ loans on the secondary market. conventional VA FHA all of these all of these Reverse annuity mortgages are primarily intended for what type of borrower? renters who wish to purchase underwater homeowners first-time homebuyers senior homeowners senior homeowners A mortgage loan that is not government-insured or guaranteed is considered a VA mortgage a conventional mortgage an FHA mortgage a conventional mortgage How is the FHA mortgage insurance program funded? by taxpayers by mortgage insurance premiums paid by borrowers by a combination of tax revenue and mortgage insurance premiums by a complex public-private partnership by mortgage insurance premiums paid by borrowers "The process of retiring a debt or recovering a capital investment, typically through scheduled, systematic repayment of the principal; a program of periodic contributions to a sinking fund or debt retirement fund" is the definition of remediation recapture trust deed amortization amortization A property has a first mortgage of $120,000, a second mortgage of $30,000, and a third mortgage of $15,000. It is foreclosed and sold for $155,000. The holder of the third mortgage gets $________ and the holder of the second mortgage receives $ _________. 0, $15,000 $15,000, $15,000 $5,000, $30,000 0, $25,000 $5,000, $30,000 What is the name of the clause in a mortgage that requires the mortgage balance be paid off when the property is sold? purchase clause amortization clause pre-payment clause due on sale clause due on sale clause What type of loans are assumable without the permission of the lender? FHA only VA only FHA and VA Very few loans are assumable without lender approval Very few loans are assumable without lender approval A property has a first mortgage of $120,000, a second mortgage of $30,000, and a third mortgage of $15,000. It is foreclosed and sold for $145,000. The holder of the third mortgage gets $_______ and the holder of the second mortgage receives $ ________. $0, $15,000 $15,000, $15,000 $5,000, $30,000 $0, $25,000 $0, $25,000 An ARM is another term for a balloon mortgage an adjustable-rate mortgage an amortized rebate mortgage illegal in most states an adjustable-rate mortgage The primary participants in the secondary mortgage market are FHA and VA Fannie Mae and FHA Freddie Mac, Ginnie Mae and HUD Fannie Mae, Freddie Mac, and Ginnie Mae Fannie Mae, Freddie Mac, and Ginnie Mae Which of these is NOT a primary participant in the secondary mortgage market? FHA Fannie Mae Freddie Mac Ginnie Mae FHA ________ liens are liens placed on a property after a previous lien has been made and recorded. Unsecured Tertiary Senior Junior Junior In 1968, FNMA was split into two organizations, which were Fannie Mae and Ginnie Mae Fannie Mae and Freddie Mae Sallie Mae and Ginnie Mae Fannie Mae and VA Fannie Mae and Ginnie Mae Which of the following entities guarantees mortgage loans? VA FHA Fannie Mae Freddie Mac VA Mortgage assumptions are illegal attractive when rates are rising attractive when rates are falling permitted by all lenders attractive when rates are rising A mortgage that has priority over all other mortgage liens on a property is a junior mortgage first mortgage wrap-around mortgage mortgage insurance premium first mortgage Another name for an installment sale contract is a(n) deed of trust trust deed contract for deed wrap-around contract contract for deed Which is NOT a primary source for mortgage capital? FHA credit unions savings banks savings & loans FHA