TEXAS REAL ESTATE FINANCE FINAL
EXAMINATION TEST 2026 COMPLETE
QUESTIONS AND ANSWERS
◉ What percent of the REIT's assets must be made up of cash, real
estate, mortgage notes, or government securities?
A) 30
B) 50
C) 75
D) 95. Answer: C) 75
◉ Which of the following is typically not a short-term mortgage
loan?
A) Single-family home loan
B) Construction loan
C) Home improvement loan
D) Manufactured home loan. Answer: A) Single-family home loan
◉ Which Texas agency licenses, regulates, and examines the trust-
and insurance-funded prepaid funeral contract sellers?
,A) Office of Consumer Credit Commissioner (OCCC)
B) Texas Department of Banking
C) Department of Savings and Mortgage Lending
D) Texas Department of Insurance. Answer: B) Texas Department of
Banking
◉ Who is the person who grants approval for the loan, rejects the
loan, or in some cases, agrees to approve the loan if certain
conditions are met?
A) Lender
B) Seller
C) Processor
D) Underwriter. Answer: D) Underwriter
◉ In Texas, what is the maximum late payment penalty allowed?
A) 10%
B) 5%
C) 15%
D) no restrictions. Answer: D) no restrictions
, ◉ The entity holding title to a property during the term of a deed of
trust is called what?
A) Trustee
B) Trustor
C) Beneficiary
D) Title company. Answer: A) Trustee
◉ The successful bidder at a judicial foreclosure sale receives which
of these documents?
A) Deed in Lieu of Foreclosure
B) Certificate of Sale
C) Trustee's Deed
D) Warranty Deed. Answer: B) Certificate of Sale
◉ Commercial banks participate in real estate finance though all but
which of the following methods?
A) Trust department operations
B) Secondary mortgage market
C) Mortgage banker activities
D) Ownership of other lending enterprises. Answer: B) Secondary
mortgage market
EXAMINATION TEST 2026 COMPLETE
QUESTIONS AND ANSWERS
◉ What percent of the REIT's assets must be made up of cash, real
estate, mortgage notes, or government securities?
A) 30
B) 50
C) 75
D) 95. Answer: C) 75
◉ Which of the following is typically not a short-term mortgage
loan?
A) Single-family home loan
B) Construction loan
C) Home improvement loan
D) Manufactured home loan. Answer: A) Single-family home loan
◉ Which Texas agency licenses, regulates, and examines the trust-
and insurance-funded prepaid funeral contract sellers?
,A) Office of Consumer Credit Commissioner (OCCC)
B) Texas Department of Banking
C) Department of Savings and Mortgage Lending
D) Texas Department of Insurance. Answer: B) Texas Department of
Banking
◉ Who is the person who grants approval for the loan, rejects the
loan, or in some cases, agrees to approve the loan if certain
conditions are met?
A) Lender
B) Seller
C) Processor
D) Underwriter. Answer: D) Underwriter
◉ In Texas, what is the maximum late payment penalty allowed?
A) 10%
B) 5%
C) 15%
D) no restrictions. Answer: D) no restrictions
, ◉ The entity holding title to a property during the term of a deed of
trust is called what?
A) Trustee
B) Trustor
C) Beneficiary
D) Title company. Answer: A) Trustee
◉ The successful bidder at a judicial foreclosure sale receives which
of these documents?
A) Deed in Lieu of Foreclosure
B) Certificate of Sale
C) Trustee's Deed
D) Warranty Deed. Answer: B) Certificate of Sale
◉ Commercial banks participate in real estate finance though all but
which of the following methods?
A) Trust department operations
B) Secondary mortgage market
C) Mortgage banker activities
D) Ownership of other lending enterprises. Answer: B) Secondary
mortgage market
