Champions Real Estate Finance Questions and Correct Answers/ Latest Update / Already Graded

_____ is the consummation of a contractual real estate transaction in which all appropriate documents are signed, and the mortgage loan proceeds are disbursed by the lender. Ans: Closing The primary determinants of real estate values are supply and _____. Ans: Demand _____ is something of value that can be pledged as security for repayment of a loan. Ans: Collateral Servicing includes which of the following activities? Ans: Maintaining records of payment The monetary policies of the _____affects interest rates and the availability of funds. All rights reserved © 2025/ 2026 | Page | 2 Ans: Federal Reserve An excess supply of money in the market results in monetary _____. Ans: Inflation Which agency insures deposits in banks and thrift institutions for up to $250,000? Ans: The Federal Deposit Insurance Corporation The _____ is the interest rate a reserve bank charges eligible financial institutions to borrow funds on a short-term basis. Ans: Discount rate Raising taxes and increasing borrowing are two ways at the treasury level to: Ans: Raise funds to pay for government spending The Fed uses three primary monetary policy tools to influence the cost and availability of credit: open market operations, the discount rate, and _____. Ans: Reserve requirements All rights reserved © 2025/ 2026 | Page | 3 When the costs of production and services increase, causing manufacturing prices to rise, it is called _____. Ans: Cost-push inflation Which of the following transactions is exempt from RESPA? Ans: Temporary loans Under the _____, the use of certain terms in an advertisement triggers the need for full disclosure of lending terms. Ans: Truth in Lending Act The Dodd-Frank Wall Street Reform and Consumer Protection Act established the _____. Ans: Consumer Financial Protection Bureau How can Sylvia ensure that Victor is properly licensed as an RMLO? Ans: She can look him up in the NMLSR All rights reserved © 2025/ 2026 | Page | 4 The secondary mortgage market was designed to provide greater liquidity to the residential real estate ma