MLO Exam Study Set (Combo of Ameritrain and Affinity) | Latest Version | 2024/2025 | Already Passed

MLO Exam Study Set (Combo of Ameritrain and Affinity) | Latest Version | 2024/2025 | Already Passed ____ agreement is a document that changes the order of priority of mortgage liens Subordination _____ is designed to help meet the lending needs of communities in which they operate HMDA ______ applies to federally related mortgage loans RESPA ______ covers the lender up to 100% of a loss FHA ______ provides a guideline for answering questions when a choice of action is available. Ethics "Equity" is defined as: The difference between the fair market value of a property and the current balances of any liens 203k is considered: FHA rehab loan A 65 year old homeowner does not currently have a mortgage on his home, but is in need of funds to make some repairs. What mortgage option would best address his need? Reverse mortgage A 7/1 ARM has a start rate of 4%, an initial cap of 3%, and a periodic cap of 1%. The lifetime cap is 8%. The margin is set at 4%, and the current index value has risen in the last month to 9.25%. The loan closed four years ago. What is the current rate? 4% A balloon rider, a prepayment penalty rider and a second home rider may all be part of: A deed of trust A borrower closes a loan with ABC mortgage company. His name is NOT on the internal DNC list. ABC mortgage can call the client to solicit new business Indefinitely A borrower has an ARM with an initial rate of 6%, and a rate cap 2/6. Whats the highest his interest rate could be over the life of the loan? 12% A borrower is refinancing her house, which gives the right to rescind the loan for three business days including Saturday, and excluding Sunday and federal holidays A borrower reports income of $40,000 from rental properties. How much should be considered when applying for a mortgage loan? $30,000 A borrower who has just completed a professional degree (PHD), but has no work history, would have to wait how long before adequate employment history is established? As soon as any probationary period with the employer expires. A buydown plan can reduce the borrower's payments early in the loan or for the entire life of the loan A change in the value of a comparable property is known as: Adjustment A conforming loan follows the secondary market criteria set by Fannie Mae/Freddie Mac A convertible ARM allows a borrower to change From an adjustable rate mortgage to a fixed rate mortgage A deed of trust is considered a Security agreement A for profit MLO who claims to be a "counselor" in and ad about loan modification would be in violation of which law? TILA A lender is obligated to provide a borrower with what document three business days prior to the loan closing? Closing disclosure A limit on the amount of interest or loan fees a creditor may charge is imposed by: State usury laws A loan balance that grows because of deferred interest is known as Negative Amortization A loan estimate must be given to the applicant within how many days of a completed application? 3 days