Champions Real Estate Finance Exam Questions and Answers 100% Accurate

Loan Processing - ANSWER-The process of collecting information about a borrower in order to build a loan file that will be used to make an underwriting decision Underwriting - ANSWER-The process of evaluating a borrower's loan application to determine the risk involved for the lender Funding - ANSWER-The process of transferring funds to a title or escrow company for disbursement Servicing - ANSWER-Sending monthly payment statements and collecting monthly payments, maintaining payment records and following up on delinquencies Benefits of home ownership: - ANSWER-Occupancy, Tax Benefits, Pride of Ownership, Security, Investment Character - ANSWER-the willingness of a borrower to make on-time payments Capacity - ANSWER-the measure of the borrowers ability to repay the debt Capital - ANSWER-the sum of all assets that the borrower has accumulated Collateral - ANSWER-something of value that can be pledged as security for repayment of the loan Mortgage Banker - ANSWER-entities which provide their own funds for the purpose of providing mortgage financing, as opposed to commercial banks