Florida Real Estate State Exam Chapter
12 Correct 100%
Federal housing administration - ANSWER Agency within the department of HUD
Insurance program lenders - ANSWER FHA insured loans by private or conventional
lenders
Mortgagor Pays MIP - ANSWER Mortgage insurance premium
FHA title 2, section 203k - ANSWER Home remodeling loan
FHA title 2, section 234c - ANSWER Program for condominium unit
FHA section 8 - ANSWER Low to moderate income rental subsidy
FHA minimum cash investment 203B - ANSWER Down payment; 3.5% of purchase
price
VA loan - ANSWER Loan partially guaranteed by VA
VA loan eligibility requirements - ANSWER Minimum days active duty; honorable
discharge
VA loan maximum entitlement guarantee - ANSWER $104,250
VA loan maximum loan amount - ANSWER VA has no maximum loan amount; 4 times
veteran's eligibility
Estoppel certificate - ANSWER Verifies loan information; signed by mortgagor
Novation - ANSWER Substitution of new debtor for existing debtor; first debtor (seller)
released from liability
Lien Theory of mortgage - ANSWER MortgagOr hold legal and equitable title; Florida is
a lien theory state
Satisfaction of mortgage - ANSWER Issued when debt paid in full; recorded
Title theory of mortgage - ANSWER Lender holds legal title to secure debt; MortgagOr
holds equitable title (possession plus an expectation to receive legal title); mortgage
deed
12 Correct 100%
Federal housing administration - ANSWER Agency within the department of HUD
Insurance program lenders - ANSWER FHA insured loans by private or conventional
lenders
Mortgagor Pays MIP - ANSWER Mortgage insurance premium
FHA title 2, section 203k - ANSWER Home remodeling loan
FHA title 2, section 234c - ANSWER Program for condominium unit
FHA section 8 - ANSWER Low to moderate income rental subsidy
FHA minimum cash investment 203B - ANSWER Down payment; 3.5% of purchase
price
VA loan - ANSWER Loan partially guaranteed by VA
VA loan eligibility requirements - ANSWER Minimum days active duty; honorable
discharge
VA loan maximum entitlement guarantee - ANSWER $104,250
VA loan maximum loan amount - ANSWER VA has no maximum loan amount; 4 times
veteran's eligibility
Estoppel certificate - ANSWER Verifies loan information; signed by mortgagor
Novation - ANSWER Substitution of new debtor for existing debtor; first debtor (seller)
released from liability
Lien Theory of mortgage - ANSWER MortgagOr hold legal and equitable title; Florida is
a lien theory state
Satisfaction of mortgage - ANSWER Issued when debt paid in full; recorded
Title theory of mortgage - ANSWER Lender holds legal title to secure debt; MortgagOr
holds equitable title (possession plus an expectation to receive legal title); mortgage
deed
