HUD Practice Exam/ 89 Q&A/ Newly Updated
Which is the minimum qualifying credit score for an FHA mortgage if the client
made a 3.5% down payment? - Answer: 640
A client has saved money for a small down payment and closing costs to purchase
a $100,000 home in the city. The client is deciding whether to begin the
homebuying process now or continue saving for a larger down payment.
Client Profile
► Credit Score - 700
► Monthly income - $3,000
► Savings - $15,000
, Types of Loans - LTV (%)
► Traditional conventional loan - 80%
► Conventional/piggyback - 80%/10%
► Conventional loan - 90%
► FHA loan - 96.5%
Which loan type would provide the highest monthly payment, assuming interest
rates and other factors are equal? - Answer:
A client, who is the surviving spouse of a military servicemember, is interested in
buying a home. The client now works at a local nonprofit agency, making $36,000
per year. The client has $4,000 in savings and a credit score of 624.
If a client has just received a commitment from a lender to provide a loan for a
fixed loan amount based on a review of the complete loan application package by
an underwriter, in what stage of the lending process is the client? - Answer:
What are key differences between PMI and MIP? - Answer:
A client seeking to purchase is trying to decide between an FHA-insured mortgage
and another mortgage insured by private mortgage insurance. Which is a
distinguishing difference between these two types of mortgage insurance? -
Answer:
Which is the minimum qualifying credit score for an FHA mortgage if the client
made a 3.5% down payment? - Answer: 640
A client has saved money for a small down payment and closing costs to purchase
a $100,000 home in the city. The client is deciding whether to begin the
homebuying process now or continue saving for a larger down payment.
Client Profile
► Credit Score - 700
► Monthly income - $3,000
► Savings - $15,000
, Types of Loans - LTV (%)
► Traditional conventional loan - 80%
► Conventional/piggyback - 80%/10%
► Conventional loan - 90%
► FHA loan - 96.5%
Which loan type would provide the highest monthly payment, assuming interest
rates and other factors are equal? - Answer:
A client, who is the surviving spouse of a military servicemember, is interested in
buying a home. The client now works at a local nonprofit agency, making $36,000
per year. The client has $4,000 in savings and a credit score of 624.
If a client has just received a commitment from a lender to provide a loan for a
fixed loan amount based on a review of the complete loan application package by
an underwriter, in what stage of the lending process is the client? - Answer:
What are key differences between PMI and MIP? - Answer:
A client seeking to purchase is trying to decide between an FHA-insured mortgage
and another mortgage insured by private mortgage insurance. Which is a
distinguishing difference between these two types of mortgage insurance? -
Answer:
