Real Estate Finance A+ Exam Questions & Answers

The process of collecting information about a borrower in order to build a loan file that will be used to make an underwriting decisions. - ANSWER-loan processing The process of evaluating a borrower's loan application to determine the risk involved for the lender. - ANSWER-underwriting The process of transferring funds to a title or escrow company for disbursement. - ANSWER-funding Sending monthly payment statements and collecting monthly payments, maintaining payment records and following up on delinquencies. - ANSWER-servicing The process of creating a new mortgage loan. - ANSWER-origination Congress created the Federal Housing Administration in . a. 1949 b. 1939 c. 1984 d. 1934 - ANSWER-d are usually small lenders who have the necessary funds to extend loans at their own risk. a. Mortgage brokers b. Underwriters c. Correspondent lenders d. Correspondence bankers - ANSWER-c