RMLO - Champions School of Real Estate Questions and Correct Answers 2024

RMLO - Champions School of Real Estate Questions and Correct Answers 2024 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 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 -kickbacksIf 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 holiday