XINNIX UPDATED ACTUAL Exam
Questions and CORRECT Answers
Loans with an LTV >80% will typically require mortgage insurance. (FNMA/FHLMC) -
CORRECT ANSWER - True
What is the maximum seller contribution allowed for a primary residence at 95% LTV?
(FNMA/FHLMC) - CORRECT ANSWER - 3%
On an ARM, redisclosure of the Truth in Lending is required if the APR changes more than
____%? - CORRECT ANSWER - .25
FHA loans have both a BASE Loan Amount and Total Loan Amount - CORRECT
ANSWER - True
A borrower's brother would like to give her money to help towards the down payment of her new
house. This would be considered _________ - CORRECT ANSWER - 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 straw buyer is an individual who is paid to purchase a property and apply for a mortgage for
someone who is unable to qualify for a loan. - CORRECT ANSWER - True
Desktop Underwriter (DU) would result in a decision of Approve/Ineligible on a loan with
excellent credit which qualifies as a jumbo loan program - CORRECT ANSWER - True
If a borrower qualifies for an agency loan of $295,750, FHA is a viable loan option. - CORRECT
ANSWER - True
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 Rate
Owner-occupied
What is the Total Loan Amount and MI Factor? - CORRECT ANSWER - $169,.65%
As a pillar of relationship selling, to Know You means to have what? - CORRECT
ANSWER - Name recognition
The following are types of renovation mortgages: - CORRECT ANSWER - FNMA
HomeStyle, FHA 203(k)
Your borrower is paid $1,950 bi-weekly and has been on his job for three years. His wife works
part-time and makes $10.25/hour. She works 20 hours per week and has been on her job for two
years. What is their combined monthly income? - CORRECT ANSWER - $5,113
Bi-weekly: $ x = 4225
Hourly: $ x # hours x = 888
Combined: 4225 + 888 = 5113
What is the maximum seller contribution allowed for an investment property at 80% LTV?
(FNMA/FHLMC) - CORRECT ANSWER - 2%
Flipping is a scheme where several people each purchase a property within the neighborhood and
then sell the properties to one another, inflating the price of the home with each sale. -
CORRECT ANSWER - False.
The perpetrator purchases a piece of property and resells it quickly (often the same day) at a
much higher price.
Redisclosure of the Truth in Lending is required if the APR changes more than ____%? -
CORRECT ANSWER - .125
, If a borrower qualifies for an agency loan of $325,000, FNMA is a viable loan option. -
CORRECT ANSWER - True
If the VA maximum entitlement has been changed by law, a veteran's COE may show an
available amount which is less than the VA maximum allowable entitlement. - CORRECT
ANSWER - True
A veteran has the ability to transfer a portion of their entitlement to another veteran. -
CORRECT ANSWER - False
A HUD consultant would not be required for an FHA 203(k) standard program. - CORRECT
ANSWER - False
The maximum LTV for an FHA cash-out refinance is 85%. - CORRECT ANSWER - False
(80%)
Using the information provided, answer the following question for conventional financing:
Sales price = $248,500
Down payment = 10%
Seller Contribution = $4,500
Closing Costs = 2.5%
Prepaids = 1%
What is the cash-to-close? - CORRECT ANSWER - $28,426
Which agency allows a borrower to qualify at the start rate for qualifying on a fixed rate with
Buydown? - CORRECT ANSWER - VA
Borrowers must meet income limits per USDA guidelines. - CORRECT ANSWER - True
A co-borrower must be listed on the sales contract. - CORRECT ANSWER - True
Questions and CORRECT Answers
Loans with an LTV >80% will typically require mortgage insurance. (FNMA/FHLMC) -
CORRECT ANSWER - True
What is the maximum seller contribution allowed for a primary residence at 95% LTV?
(FNMA/FHLMC) - CORRECT ANSWER - 3%
On an ARM, redisclosure of the Truth in Lending is required if the APR changes more than
____%? - CORRECT ANSWER - .25
FHA loans have both a BASE Loan Amount and Total Loan Amount - CORRECT
ANSWER - True
A borrower's brother would like to give her money to help towards the down payment of her new
house. This would be considered _________ - CORRECT ANSWER - 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 straw buyer is an individual who is paid to purchase a property and apply for a mortgage for
someone who is unable to qualify for a loan. - CORRECT ANSWER - True
Desktop Underwriter (DU) would result in a decision of Approve/Ineligible on a loan with
excellent credit which qualifies as a jumbo loan program - CORRECT ANSWER - True
If a borrower qualifies for an agency loan of $295,750, FHA is a viable loan option. - CORRECT
ANSWER - True
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 Rate
Owner-occupied
What is the Total Loan Amount and MI Factor? - CORRECT ANSWER - $169,.65%
As a pillar of relationship selling, to Know You means to have what? - CORRECT
ANSWER - Name recognition
The following are types of renovation mortgages: - CORRECT ANSWER - FNMA
HomeStyle, FHA 203(k)
Your borrower is paid $1,950 bi-weekly and has been on his job for three years. His wife works
part-time and makes $10.25/hour. She works 20 hours per week and has been on her job for two
years. What is their combined monthly income? - CORRECT ANSWER - $5,113
Bi-weekly: $ x = 4225
Hourly: $ x # hours x = 888
Combined: 4225 + 888 = 5113
What is the maximum seller contribution allowed for an investment property at 80% LTV?
(FNMA/FHLMC) - CORRECT ANSWER - 2%
Flipping is a scheme where several people each purchase a property within the neighborhood and
then sell the properties to one another, inflating the price of the home with each sale. -
CORRECT ANSWER - False.
The perpetrator purchases a piece of property and resells it quickly (often the same day) at a
much higher price.
Redisclosure of the Truth in Lending is required if the APR changes more than ____%? -
CORRECT ANSWER - .125
, If a borrower qualifies for an agency loan of $325,000, FNMA is a viable loan option. -
CORRECT ANSWER - True
If the VA maximum entitlement has been changed by law, a veteran's COE may show an
available amount which is less than the VA maximum allowable entitlement. - CORRECT
ANSWER - True
A veteran has the ability to transfer a portion of their entitlement to another veteran. -
CORRECT ANSWER - False
A HUD consultant would not be required for an FHA 203(k) standard program. - CORRECT
ANSWER - False
The maximum LTV for an FHA cash-out refinance is 85%. - CORRECT ANSWER - False
(80%)
Using the information provided, answer the following question for conventional financing:
Sales price = $248,500
Down payment = 10%
Seller Contribution = $4,500
Closing Costs = 2.5%
Prepaids = 1%
What is the cash-to-close? - CORRECT ANSWER - $28,426
Which agency allows a borrower to qualify at the start rate for qualifying on a fixed rate with
Buydown? - CORRECT ANSWER - VA
Borrowers must meet income limits per USDA guidelines. - CORRECT ANSWER - True
A co-borrower must be listed on the sales contract. - CORRECT ANSWER - True
