REE 3043 EXAM #3 CURCIO QUESTIONS AND
ANSWERS 2026
100 Percent - Answers - The maximum loan-to-value ratio on a VA gauranteed loan is:
1.75% - Answers - What is the up-front premium changed on FHA loans?
$63,000 - Answers - Given the following information, how much PMI i required?
PMI is to cover the top 35% of the loan.
Purchase Price: $200,000
Loan Amount: $180,000
Down Payment: 10%
Annual Percentage Rate (APR) - Answers - Jan is hopping for a home loan in order to
purchase her retirement home. She has several loans options available and assuming
he will pay the loan to maturity, she should select the loan with the lowest:
Negative Amortization - Answers - Typically, a minimum payment, Option ARM
mortgage loan will involve:
The lender paying the elderly couple $709.86month - Answers - An elderly couple owns
a $280,000 home that is free and clear of mortgage debt. A reverse annuity mortgage
(RAM) lender has agreed to $225,000 RAM. The loan term i 15 years, the contract is
7.0% interest, and payment will be made at the end of each month. This will result in:
$333.48/month; 1.5 years - Answers - 5 years ago, Jasmine purchased a home with a
9% mortgage rate. Her monthly payment is $965.55. She still owes $100,000 on the
home but ha found another lender who will refinance the home at a 6.5% mortgage rate
for 30 years. Refinancing costs would be $4,000 plus 2% of the $100,000 mortgage
loan. Approximately, how much would Jasmine save monthly by refinancing at 6.5%,
and how long would it take her, at this rate of savings, to recover the refinancing costs?
28% and 36% - Answers - For all, except very high loan-to-value conventional home
loans, the standard front end and back end payment ratios for underwriting are:
Disintermediation - Answers - When money market funds were introduced in the late
1970's short-term savers quickly realized they could recognize higher returns from Wall
Street rather than their thrift institution which were restricted from offering competitive
rates by Req Q. As a result, thrifts experienced rampant ____________, which is
characterized as the withdrawal of funds from one institution for direct investment
elsewhere.
, 44.4% - Answers - Given the following monthly information, calculate the total debt
("back end") ratio:
Principal & interest: $635
Taxes & insurance: $125
Car Lease: $350
Groceries: $220
Gross Income: $2,500
24.44%; 31.11% - Answers - A recent UCF graduate landed a great job as a
commercial mortgage broker earning $4,500/month. She wants to purchase a home for
$160,000. The monthly payment (principal and interest) i $750. Property taxes and
hazard insurance expenses total $350/month. Her car payment is $300/month. Her
housing expenses (front-end) ratio and total obligations (back-end) ratio are,
respectively:
It was enacted to create risk-based capital standards for depository institutions. -
Answers - Which of the following statements, regarding the Depository and Monetary
Control Act (DIDMCA) is LEAST correct?
Ginnie Mae buys FHA and VA mortgages - Answers - Which of the following
statements, regarding the three secondary mortgage entities created by the Federal
Government, is LEAST correct?
Concern - Answers - The three "C's" of home loan underwriting do NOT include:
commingling escrow (trust) money with personal funds - Answers - Real estate
salespersons can lose their licenses for:
Fiduciary - Answers - Agents who agree to abide by certain law-imposed duties which
include confidentiality, disclosure, loyalty, and obedience to the lawful instructions of
their principals, have entered into a ___________ relationship with that principal.
This means that he is not obligated to pay a commission to anyone, if she sells the
property herself, and otherwise, she is only liable to pay a fee to the broker who actually
sells the property. - Answers - Jasmine has agreements with several brokers for the
sale of her home under an open listing agreement.
$631,579 - Answers - As a Realtor, you have to assist sellers in deciding the asking
price which will give the seller their target net price after paying commission. If a seller
wished to net $600,000 after paying the broker's commission of 5%, what should be the
gross listing prie of the property?
The seller should be concerned about all of these issues. - Answers - Which of the
following issues should a seller be concerned with when listing his/her property for sale
with a broker?
ANSWERS 2026
100 Percent - Answers - The maximum loan-to-value ratio on a VA gauranteed loan is:
1.75% - Answers - What is the up-front premium changed on FHA loans?
$63,000 - Answers - Given the following information, how much PMI i required?
PMI is to cover the top 35% of the loan.
Purchase Price: $200,000
Loan Amount: $180,000
Down Payment: 10%
Annual Percentage Rate (APR) - Answers - Jan is hopping for a home loan in order to
purchase her retirement home. She has several loans options available and assuming
he will pay the loan to maturity, she should select the loan with the lowest:
Negative Amortization - Answers - Typically, a minimum payment, Option ARM
mortgage loan will involve:
The lender paying the elderly couple $709.86month - Answers - An elderly couple owns
a $280,000 home that is free and clear of mortgage debt. A reverse annuity mortgage
(RAM) lender has agreed to $225,000 RAM. The loan term i 15 years, the contract is
7.0% interest, and payment will be made at the end of each month. This will result in:
$333.48/month; 1.5 years - Answers - 5 years ago, Jasmine purchased a home with a
9% mortgage rate. Her monthly payment is $965.55. She still owes $100,000 on the
home but ha found another lender who will refinance the home at a 6.5% mortgage rate
for 30 years. Refinancing costs would be $4,000 plus 2% of the $100,000 mortgage
loan. Approximately, how much would Jasmine save monthly by refinancing at 6.5%,
and how long would it take her, at this rate of savings, to recover the refinancing costs?
28% and 36% - Answers - For all, except very high loan-to-value conventional home
loans, the standard front end and back end payment ratios for underwriting are:
Disintermediation - Answers - When money market funds were introduced in the late
1970's short-term savers quickly realized they could recognize higher returns from Wall
Street rather than their thrift institution which were restricted from offering competitive
rates by Req Q. As a result, thrifts experienced rampant ____________, which is
characterized as the withdrawal of funds from one institution for direct investment
elsewhere.
, 44.4% - Answers - Given the following monthly information, calculate the total debt
("back end") ratio:
Principal & interest: $635
Taxes & insurance: $125
Car Lease: $350
Groceries: $220
Gross Income: $2,500
24.44%; 31.11% - Answers - A recent UCF graduate landed a great job as a
commercial mortgage broker earning $4,500/month. She wants to purchase a home for
$160,000. The monthly payment (principal and interest) i $750. Property taxes and
hazard insurance expenses total $350/month. Her car payment is $300/month. Her
housing expenses (front-end) ratio and total obligations (back-end) ratio are,
respectively:
It was enacted to create risk-based capital standards for depository institutions. -
Answers - Which of the following statements, regarding the Depository and Monetary
Control Act (DIDMCA) is LEAST correct?
Ginnie Mae buys FHA and VA mortgages - Answers - Which of the following
statements, regarding the three secondary mortgage entities created by the Federal
Government, is LEAST correct?
Concern - Answers - The three "C's" of home loan underwriting do NOT include:
commingling escrow (trust) money with personal funds - Answers - Real estate
salespersons can lose their licenses for:
Fiduciary - Answers - Agents who agree to abide by certain law-imposed duties which
include confidentiality, disclosure, loyalty, and obedience to the lawful instructions of
their principals, have entered into a ___________ relationship with that principal.
This means that he is not obligated to pay a commission to anyone, if she sells the
property herself, and otherwise, she is only liable to pay a fee to the broker who actually
sells the property. - Answers - Jasmine has agreements with several brokers for the
sale of her home under an open listing agreement.
$631,579 - Answers - As a Realtor, you have to assist sellers in deciding the asking
price which will give the seller their target net price after paying commission. If a seller
wished to net $600,000 after paying the broker's commission of 5%, what should be the
gross listing prie of the property?
The seller should be concerned about all of these issues. - Answers - Which of the
following issues should a seller be concerned with when listing his/her property for sale
with a broker?
