Xinnix Ground School Mortgage Final Exam Questions And Answers Rated A+ New Update Assured Satisfaction

Desktop Underwriting (DU) would result in a decision of Approve/Ineligible on a loan with excellent credit which qualifies as a jumbo loan program. - True All of the following documents must be provided by the builder to the mortgage company on an FHA new construction loan prior to the loan being cleared to close EXCEPT: - Appraisal Certificate A borrower's brother would like to give her money to help towards the down payment of her new house. This would be considered.... - A gift from a relative and would require a gift letter, as well as proof that the funds have been transferred to the borrower's account. A 3-Year ARM adjusts every 3 years - True A borrower is considering a 1-year ARM with a note rate of 4.25%, 2/6 caps and a margin of 2.5%. What would the borrower's interest rate be for year 2 if the index is at 4.25%? - 6.25% A borrower paid semi-monthly and a borrower paid bi-weekly have the same number of pay periods per year - False A borrower purchased a home on January 15th and is moving in on March 2nd. How many days from purchase to move in? (For non-leap years only) - 46 days A borrower requesting a jumbo loan will qualify for an agency loan - False A borrower that is self-employed (Schedule C) will typically not be required to provide a YTD paystub. - True A borrower's income is a factor considered when determining the principal limit (maximum loan amount) for a reverse mortgage. - FalseA HELOC loan has an interest only payment - True A Loan Officer can locate the summary of the eligibility requirements for a loan to be sold to a specific lender/investor in the lender specs. - False A non-arm's length transaction occurs when the borrowers or any other party to the transaction have a direct relationship with another party to the transaction (including, but not limited to, the employer, lender, broker, or appraiser). - True A partner's percentage of ownership and earnings can be located on Schedule E part II of their personal tax returns. - False A program description contains the summary of eligibility requirements for a loan to be sold to a specific lender/investor. - True A room addition is allowed under the FHA 203(k) Limited program. - False A veteran has the ability to transfer a portion of their entitlement to another veteran. - False After the borrower submits a complete loan application, the LE must be delivered or placed in the mail within how many days? - 3 business days MUST BE PROVIDED: Certificate of Occupancy, Builder's 1-Year Warranty, Insulation Certificate An origination fee may be paid by the borrower on an FHA loan - True Based on a loan amount of $225,000, how many years will it take your customer to break-even if they choose to pay 1.5% in discount points to secure an interest rate of 6.00% as opposed to zero points for a 6.25% rate? - 7.73 yearsBorrowers must meet income limits per USDA guidelines - True Choose the correct relationship between the Name of the Report and mortgage interest rate tendencies. - When the CPI goes UP, Rates tend to go UP When the GDP goes DOWN, rates tend to go DOWN When the Unemployment Rate goes UP, rates tend to go DOWN