Real Estate Finance (Exam Review) Questions with highest scores

VA Loan Requirements - ANSWER-- must be honorably discharged - must meet service requirements - time frame of service; number of days active duty - must obtain certificate of eligibility (COE) Loan Terminology - origination, funding, underwriting, servicing - ANSWER-1) Origination - process of creating a new mortgage loan; includes steps to attract and qualify a borrower 2) Funding - process of transferring funds to a title or escrow company for disbursement 3) Underwriting - process of evaluating a borrower's loan application to determine the risk involved for the lender 4) Servicing - collecting monthly payments, maintaining records of payments and balances, collecting and paying taxes and insurance, remitting funds to the note holder, and following up on delinquencies VA Loan Terminology - guaranteed, qualification, eligibility, entitlement - ANSWER-1) Guaranteed - partial guarantee on the loan protects the lender against loss if the payments are not made 2) Qualification - based upon residual income and debt to income ratio 3) Eligibility - the Veteran's entitlement to VA home loan benefits under the law, based on military service