Champions School of Real Estate Finance Exam Questions with Correct Answers

Seller's market - ANSWER-When supply is low and demand is high Buyer's market - ANSWER-When supply is high and demand is low The process of creating a new mortgage loan - ANSWER-Origination The detailed process of evaluating a borrower's loan application to determine the risk involved for the lender - ANSWER-Underwriting When there is an excess of money supply in the market - ANSWER-Monetary inflation Which agency insures deposits in bank and thrift institution for up to $250,000? - ANSWER-Federal Deposit Insurance Corporation prohibit housing discrimination based on sex, race, color, religion, national origin, disabilities, or familial status - ANSWER-Federal Fair Housing All residential mortgage loan originators must now be registered with... - ANSWER-Nationwide Mortgage Licensing System and Registry (NMLSR) The practice of refusing to provide financing in a particular area because of the location - ANSWER-Redlining What was the Community Reinvestment Act (CRA)? - ANSWER-Law against bank to ensure that banks would serve the needs of the community The Texas Veteran's Loan Program - ANSWER-Buyes loans from lender