Xinnix Ground Course Final Exam/114
Questions with Verified Answers
A veteran has the ability to transfer a portion of their entitlement to another
veteran. - -False
-1. Gross rent may be considered effective income when an applicant is
planning to rent their current residence after closing on the purchase of their
new home. - -False
-Based on the following scenario, does the borrower qualify within FNMA
guidelines?
PITI: $1,725 monthly
Income: $7,000
Debt: $700 car payment, $375 student loan ($2,250 balance), $170 credit
card payments ($1,530 balance - -No
-YTD paystubs will be required from a borrower that is self-employed
(Schedule C). - -False
-The maximum LTV for an FHA purchase is 97%. - -False
-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. - -False
-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). - -No
-One month of the borrower's current house payment must be included
when calculating the new loan amount for a cash-out refinance - -True
-The qualifying rate for a 7/1 ARM is 2% above the start rate. - -False
-Churning schemes usually involve falsified down payment amounts and
falsified appraisals. - -False
-A borrower can use a credit card to pay for their required down payment - -
False
, -A borrower's income is a factor considered when determining the principal
limit (maximum loan amount) for a reverse mortgage. - -False
-A 30-year conventional loan with an 87% LTV would require 25% mortgage
insurance coverage. - -True
-A borrower that is self-employed (Schedule C) will typically not be required
to provide a YTD paystub. - -True
-Loans with an LTV >80% will typically require mortgage insurance.
(FNMA/FHLMC) - -True
-A fixed-rate second mortgage has the loan amount fully disbursed at
closing. Monthly payments are amortized over the term of the loan. Once the
balance is paid off the mortgage is closed. - -True
-A borrower must qualify at the note rate on a temporary buydown, not the
start rate. - -True
-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. - -True
-FNMA and FHLMC are fully backed by the U.S. Government - -True
-The Correspondent Lender is the "end" lender in a mortgage banker's
transaction - -True
-A stand alone second mortgage is obtained separately from a first
mortgage. - -True
-Except for high-cost areas, the maximum loan amount on a 1-unit, single
family residence is $510,400. - -True
-When using automated underwriting for a FNMA loan, DU will determine the
borrower's reserve requirement for an investment property. - -True
-Gross rent may be considered effective income when an applicant is
planning to rent their current residence after closing on the purchase of their
new home - -False
-HomeOne will allow up to 97% LTV for a primary residence, 1-Unit purchase
if at least one of the borrowers has not owned a home in the last 3 years. A
borrower who has not owned a home in the last three years is considered a
first-time home buyer under HomeOne - -True
Questions with Verified Answers
A veteran has the ability to transfer a portion of their entitlement to another
veteran. - -False
-1. Gross rent may be considered effective income when an applicant is
planning to rent their current residence after closing on the purchase of their
new home. - -False
-Based on the following scenario, does the borrower qualify within FNMA
guidelines?
PITI: $1,725 monthly
Income: $7,000
Debt: $700 car payment, $375 student loan ($2,250 balance), $170 credit
card payments ($1,530 balance - -No
-YTD paystubs will be required from a borrower that is self-employed
(Schedule C). - -False
-The maximum LTV for an FHA purchase is 97%. - -False
-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. - -False
-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). - -No
-One month of the borrower's current house payment must be included
when calculating the new loan amount for a cash-out refinance - -True
-The qualifying rate for a 7/1 ARM is 2% above the start rate. - -False
-Churning schemes usually involve falsified down payment amounts and
falsified appraisals. - -False
-A borrower can use a credit card to pay for their required down payment - -
False
, -A borrower's income is a factor considered when determining the principal
limit (maximum loan amount) for a reverse mortgage. - -False
-A 30-year conventional loan with an 87% LTV would require 25% mortgage
insurance coverage. - -True
-A borrower that is self-employed (Schedule C) will typically not be required
to provide a YTD paystub. - -True
-Loans with an LTV >80% will typically require mortgage insurance.
(FNMA/FHLMC) - -True
-A fixed-rate second mortgage has the loan amount fully disbursed at
closing. Monthly payments are amortized over the term of the loan. Once the
balance is paid off the mortgage is closed. - -True
-A borrower must qualify at the note rate on a temporary buydown, not the
start rate. - -True
-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. - -True
-FNMA and FHLMC are fully backed by the U.S. Government - -True
-The Correspondent Lender is the "end" lender in a mortgage banker's
transaction - -True
-A stand alone second mortgage is obtained separately from a first
mortgage. - -True
-Except for high-cost areas, the maximum loan amount on a 1-unit, single
family residence is $510,400. - -True
-When using automated underwriting for a FNMA loan, DU will determine the
borrower's reserve requirement for an investment property. - -True
-Gross rent may be considered effective income when an applicant is
planning to rent their current residence after closing on the purchase of their
new home - -False
-HomeOne will allow up to 97% LTV for a primary residence, 1-Unit purchase
if at least one of the borrowers has not owned a home in the last 3 years. A
borrower who has not owned a home in the last three years is considered a
first-time home buyer under HomeOne - -True
