Mortgage Loan Origination Activities
Practice Questions With Complete
Solutions 2024
A jborrower jdoes jnot jwish jto jcomplete jthe jdemographics jquestions jin jthe
jGovernment jMonitoring jsection jof jthe j1003. jWhat jshould jthe jmortgage jloan
joriginator jdo? j- jANS✓✓-Indicate jthat jthe japplicant jchooses jnot jto jself-
disclose, jand jcomplete jwhat jhe jor jshe jcan jbased jon jvisual jobservation jduring
ja jface-to-face jinterview
Which jof jthe jfollowing jwould jnot jbe jfound jon ja jcredit jreport? j- jANS✓✓-
Payments jmade jto jcreditors jwho jdo jnot jsend jdata jto ja jrepository
Why jwould ja jborrower jpay jdiscount jpoints jin jconjunction jwith jhis jor jher jloan
jtransaction? j- jANS✓✓-To jlower jtheir jnote jrate
Sue jJohnson jis ja jreceptionist jfor ja jconstruction jcompany. jShe jreceives ja jbi-
weekly jpay jin jthe jamount jof j$1,153.85. jWhat jis jher jmonthly jqualifying jincome?
j- jANS✓✓-$2,500.00
Bankruptcy jinformation jwill jremain jon ja jconsumer's jcredit jreport jfor: j-
jANS✓✓-Ten jyears
Which jof jthe jfollowing jpieces jof jpersonal jinformation jis ja jborrower jasked jto
jprovide jvoluntarily jon jthe jloan japplication? j- jANS✓✓-Race, jethnicity, jand jsex
Joan jJohnson jis ja jsalesperson jwho jis jpaid j100% jcommission. jWhat jtype jof
jdocumentation jwould jyou jask jher jto jprovide jas jproof jof jher jincome jfor jloan
jqualification? j- jANS✓✓-Tax jreturns jfor jthe jpast jtwo jyears
Mr. jBob jBrown jearns j$12.00 jper jhour jand jworks j38 jhours jeach jweek jfor jhis
jjob jat ja jretail jstore. jHis jwife jMatilda jis jpaid j$680 jbi-weekly jas ja jmedical
jtechnician, jWhat jis jtheir jcombined jmonthly jqualifying jincome? j- jANS✓✓-$3,
j449.33 j
$1,976 jplus j$1, j473.33 jequals j$3, j449.33
, Mr. jCyril jCagney jis jpaid j$1,800 jsemi-monthly. jWhat jis jhis jmonthly jqualifying
jincome? j- jANS✓✓-$3,600
James jSmith jhas jworked jfor jPerfect jTransmission jInstallers jfor jeight jyears. jHis
jannual jincome jsalary jis j$52,000. jFor jovertime jhours, jwhich jhe jhas javeraged
jas jsix jhours jper jweek, jhe jreceives jdouble jpay jbased jon jhos jper-hour jwage jof
j$25. jJames jtakes jfour jweeks jof jpaid jvacation jper jyear. jWhat jis jhis jmonthly
jqualifying jincome? j- jANS✓✓-$5,533.33
Which jof jthe jfollowing jbest jdescribes jthe jLTV jratio? j- jANS✓✓-It jis jthe jratio jof
jthe jborrower's jprincipal jloan jbalance jto jthe jappraised jvalue jof jthe jproperty
Which jof jthe jfollowing jreal jestate jappraisal japproaches jconsiders jthe jvalue jof
jthe jproperty jand jany jimprovements jmade? j- jANS✓✓-Cost japproach
On jwhich japproach jdo jappraisers jplace jthe jmost jweight jin jreaching ja jvalue
jconclusion jfor jconforming jloans? j- jANS✓✓-Sales jcomparison japproach
Appraisals jthat juse jthe jsales jcomparison japproach jinclude jwhich jof jthe
jfollowing? j- jANS✓✓-Comparison jof jvalue jfor jthree jsimilar, jrecently jsold
jproperties
According jto jconforming jguidelines, jan jappraiser jmay jmake jnet jadjustments jto
jcomparables jup jto j_____ jin ja jresidential jappraisal. j- jANS✓✓-15%
A jborrower jhas japplied jfor ja jrefinance jon jher jproperty jvalued jat j$235,000. jShe
jcurrently jhas ja jHELOC jwith ja j$47,000 jlimit jand jcurrently jowes j$25,850. jThe
jborrower jhas japplied jfor ja jfirst jmortgage jof j$164,500. jWhich jof jthe jfollowing
jLTV, jCLTV, jand jHLTV jare jaccurate? j- jANS✓✓-70%, j81%, j90%
A jproperty jis jvalued jat j$295,000. jThe jis ja jfirst jand jsecond jmortgage jwith ja
j77% jCLTV. jThe jsecond jmortgage jhas ja j10% jLTV. jWhat jis jthe japproximate
jamount jof jthe jfirst jmortgage? j- jANS✓✓-$197,650
What jdocument jwould jan junderwriter jrely jon jfor jdetailed jinformation
jconcerning jthe jcollateral jfor ja jmortgage jloan? j- jANS✓✓-The jproperty jappraisal
The jUniform jResidential jAppraisal jReport jis jcommonly jknown jas jthe j- jANS✓✓-
1004
An jagreement ja jborrower jmakes jwith ja jlender jallowing jtheir jinterest jrate jto
jrise jor jfall jwith jthe jmarket jis jcalled: j- jANS✓✓-A jfloat jagreement
Mortgage jinsurance jpremium: j- jANS✓✓-Is jpaid jupfront jon jall jFHA jloans
Practice Questions With Complete
Solutions 2024
A jborrower jdoes jnot jwish jto jcomplete jthe jdemographics jquestions jin jthe
jGovernment jMonitoring jsection jof jthe j1003. jWhat jshould jthe jmortgage jloan
joriginator jdo? j- jANS✓✓-Indicate jthat jthe japplicant jchooses jnot jto jself-
disclose, jand jcomplete jwhat jhe jor jshe jcan jbased jon jvisual jobservation jduring
ja jface-to-face jinterview
Which jof jthe jfollowing jwould jnot jbe jfound jon ja jcredit jreport? j- jANS✓✓-
Payments jmade jto jcreditors jwho jdo jnot jsend jdata jto ja jrepository
Why jwould ja jborrower jpay jdiscount jpoints jin jconjunction jwith jhis jor jher jloan
jtransaction? j- jANS✓✓-To jlower jtheir jnote jrate
Sue jJohnson jis ja jreceptionist jfor ja jconstruction jcompany. jShe jreceives ja jbi-
weekly jpay jin jthe jamount jof j$1,153.85. jWhat jis jher jmonthly jqualifying jincome?
j- jANS✓✓-$2,500.00
Bankruptcy jinformation jwill jremain jon ja jconsumer's jcredit jreport jfor: j-
jANS✓✓-Ten jyears
Which jof jthe jfollowing jpieces jof jpersonal jinformation jis ja jborrower jasked jto
jprovide jvoluntarily jon jthe jloan japplication? j- jANS✓✓-Race, jethnicity, jand jsex
Joan jJohnson jis ja jsalesperson jwho jis jpaid j100% jcommission. jWhat jtype jof
jdocumentation jwould jyou jask jher jto jprovide jas jproof jof jher jincome jfor jloan
jqualification? j- jANS✓✓-Tax jreturns jfor jthe jpast jtwo jyears
Mr. jBob jBrown jearns j$12.00 jper jhour jand jworks j38 jhours jeach jweek jfor jhis
jjob jat ja jretail jstore. jHis jwife jMatilda jis jpaid j$680 jbi-weekly jas ja jmedical
jtechnician, jWhat jis jtheir jcombined jmonthly jqualifying jincome? j- jANS✓✓-$3,
j449.33 j
$1,976 jplus j$1, j473.33 jequals j$3, j449.33
, Mr. jCyril jCagney jis jpaid j$1,800 jsemi-monthly. jWhat jis jhis jmonthly jqualifying
jincome? j- jANS✓✓-$3,600
James jSmith jhas jworked jfor jPerfect jTransmission jInstallers jfor jeight jyears. jHis
jannual jincome jsalary jis j$52,000. jFor jovertime jhours, jwhich jhe jhas javeraged
jas jsix jhours jper jweek, jhe jreceives jdouble jpay jbased jon jhos jper-hour jwage jof
j$25. jJames jtakes jfour jweeks jof jpaid jvacation jper jyear. jWhat jis jhis jmonthly
jqualifying jincome? j- jANS✓✓-$5,533.33
Which jof jthe jfollowing jbest jdescribes jthe jLTV jratio? j- jANS✓✓-It jis jthe jratio jof
jthe jborrower's jprincipal jloan jbalance jto jthe jappraised jvalue jof jthe jproperty
Which jof jthe jfollowing jreal jestate jappraisal japproaches jconsiders jthe jvalue jof
jthe jproperty jand jany jimprovements jmade? j- jANS✓✓-Cost japproach
On jwhich japproach jdo jappraisers jplace jthe jmost jweight jin jreaching ja jvalue
jconclusion jfor jconforming jloans? j- jANS✓✓-Sales jcomparison japproach
Appraisals jthat juse jthe jsales jcomparison japproach jinclude jwhich jof jthe
jfollowing? j- jANS✓✓-Comparison jof jvalue jfor jthree jsimilar, jrecently jsold
jproperties
According jto jconforming jguidelines, jan jappraiser jmay jmake jnet jadjustments jto
jcomparables jup jto j_____ jin ja jresidential jappraisal. j- jANS✓✓-15%
A jborrower jhas japplied jfor ja jrefinance jon jher jproperty jvalued jat j$235,000. jShe
jcurrently jhas ja jHELOC jwith ja j$47,000 jlimit jand jcurrently jowes j$25,850. jThe
jborrower jhas japplied jfor ja jfirst jmortgage jof j$164,500. jWhich jof jthe jfollowing
jLTV, jCLTV, jand jHLTV jare jaccurate? j- jANS✓✓-70%, j81%, j90%
A jproperty jis jvalued jat j$295,000. jThe jis ja jfirst jand jsecond jmortgage jwith ja
j77% jCLTV. jThe jsecond jmortgage jhas ja j10% jLTV. jWhat jis jthe japproximate
jamount jof jthe jfirst jmortgage? j- jANS✓✓-$197,650
What jdocument jwould jan junderwriter jrely jon jfor jdetailed jinformation
jconcerning jthe jcollateral jfor ja jmortgage jloan? j- jANS✓✓-The jproperty jappraisal
The jUniform jResidential jAppraisal jReport jis jcommonly jknown jas jthe j- jANS✓✓-
1004
An jagreement ja jborrower jmakes jwith ja jlender jallowing jtheir jinterest jrate jto
jrise jor jfall jwith jthe jmarket jis jcalled: j- jANS✓✓-A jfloat jagreement
Mortgage jinsurance jpremium: j- jANS✓✓-Is jpaid jupfront jon jall jFHA jloans
