©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
RMLO - Champions School of Real Estate
Exam Questions And Answers |Latest 2025 |
Guaranteed Pass
A market for the purchase and sale of existing mortgages designed to provide greater liquidity
for selling mortgages is called the ________. - Answer✔secondary market
The Federal agency established to restore Fannie Mae and Freddie Mac to a sound and solvent
financial condition is _____. - Answer✔Federal Housing Finance Agency (FHFA)
The ____ guarantee allows mortgage lenders to obtain a better price for their loan in the
capital markets. - Answer✔Gov't. National Mortgage Association - Ginnie Mae
The federally chartered corporation was established in 1970 for the purpose of purchasing
mortgages in the secondary market is known as ______. - Answer✔Federal Home Loan
Mortgage Corporation - Freddie Mac
The line of credit used by a mortgage lender to close and fund a loan before selling it in the
secondary market is called a ____. - Answer✔warehouse line
Today the _____ specializes as the intermediary between the borrower and the lender. -
Answer✔mortgage broker
A _____ is a mortgage that is NOT guaranteed or insured by any government agency. -
Answer✔conventional loan
1|Page
, ©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
A ____ seeks to originate numerous loan transactions and then sell these mortgages to large
investors. - Answer✔mortgage banker
The Good Faith Estimate disclosure form is used primarily for _____ transactions. -
Answer✔reverse mortgage
The disclosures related to the transfer of ______ are required for first mortgage liens of
federally related mortgage loans, including all financing transactions of such loans. -
Answer✔mortgage servicing
_____ sets limits on the amounts that a lender may require a borrower to put into an escrow
account for purposes of paying taxes, hazard insurance and other charges related to the
property. - Answer✔RESPA Section 10
Payments in excess of the reasonable value of goods provided or services rendered are
considered _____. - Answer✔kickbacks
If a lender has either an affiliate relationship or a direct ownership interest of more than one
percent in a provider of settlement services and they directly refer business to the provider, it is
per Reg X a _____. - Answer✔affiliated business arrangement (ABA)
Reg X requires the ______ must be provided at settlement, or within 45 calendar days of
settlement. - Answer✔initial escrow settlement statement
The ____ is the cost of a borrower's credit calculated as an annual rate - Answer✔APR
Reg Z requires an HPML creditor to obtain a second written ____ based on an interior
inspection of the property, at no cost to the borrower, in connection with certain flipped
properties. - Answer✔appraisal
Rescission business days are defined by Reg Z to include all calendar days EXCEPT _____. -
Answer✔Sundays and federal holidays
2|Page
RMLO - Champions School of Real Estate
Exam Questions And Answers |Latest 2025 |
Guaranteed Pass
A market for the purchase and sale of existing mortgages designed to provide greater liquidity
for selling mortgages is called the ________. - Answer✔secondary market
The Federal agency established to restore Fannie Mae and Freddie Mac to a sound and solvent
financial condition is _____. - Answer✔Federal Housing Finance Agency (FHFA)
The ____ guarantee allows mortgage lenders to obtain a better price for their loan in the
capital markets. - Answer✔Gov't. National Mortgage Association - Ginnie Mae
The federally chartered corporation was established in 1970 for the purpose of purchasing
mortgages in the secondary market is known as ______. - Answer✔Federal Home Loan
Mortgage Corporation - Freddie Mac
The line of credit used by a mortgage lender to close and fund a loan before selling it in the
secondary market is called a ____. - Answer✔warehouse line
Today the _____ specializes as the intermediary between the borrower and the lender. -
Answer✔mortgage broker
A _____ is a mortgage that is NOT guaranteed or insured by any government agency. -
Answer✔conventional loan
1|Page
, ©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
A ____ seeks to originate numerous loan transactions and then sell these mortgages to large
investors. - Answer✔mortgage banker
The Good Faith Estimate disclosure form is used primarily for _____ transactions. -
Answer✔reverse mortgage
The disclosures related to the transfer of ______ are required for first mortgage liens of
federally related mortgage loans, including all financing transactions of such loans. -
Answer✔mortgage servicing
_____ sets limits on the amounts that a lender may require a borrower to put into an escrow
account for purposes of paying taxes, hazard insurance and other charges related to the
property. - Answer✔RESPA Section 10
Payments in excess of the reasonable value of goods provided or services rendered are
considered _____. - Answer✔kickbacks
If a lender has either an affiliate relationship or a direct ownership interest of more than one
percent in a provider of settlement services and they directly refer business to the provider, it is
per Reg X a _____. - Answer✔affiliated business arrangement (ABA)
Reg X requires the ______ must be provided at settlement, or within 45 calendar days of
settlement. - Answer✔initial escrow settlement statement
The ____ is the cost of a borrower's credit calculated as an annual rate - Answer✔APR
Reg Z requires an HPML creditor to obtain a second written ____ based on an interior
inspection of the property, at no cost to the borrower, in connection with certain flipped
properties. - Answer✔appraisal
Rescission business days are defined by Reg Z to include all calendar days EXCEPT _____. -
Answer✔Sundays and federal holidays
2|Page
