Xinnix SOAR Final Questions and Answers Already Passed
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Course
Xinnix
Institution
Xinnix
Xinnix SOAR Final Questions and Answers Already Passed
FNMA and FHLMC are what type of loan? - Answer ️️ -conforming
the main purpose of the Consumer financial protection bureau (CFPB) is to help consumers
understand the terms of their agreements with financial companies - Answer ️️ -tru...
Xinnix SOAR Final Questions and Answers Already Passed FNMA and FHLMC are what type of loan? - Answer ✔️✔️-conforming the main purpose of the Consumer financial protection bureau (CFPB) is to help consumers understand the terms of their agreements with financial companies - Answer ✔️✔️-true conventional loans are not insured by the federal government - Answer ✔️✔️-true Agency loans include FHA and VA loans - Answer ✔️✔️-true the proceeds of a loan for cash out refinance may be used by the borrower to insure a new pool - Answer ✔️✔️-true a non -agency loan does n ot have to conform to FNMA guidelines - Answer ✔️✔️-true FNMA insured mortgage companies against default - Answer ✔️✔️-false Fannie Mae purchased FHA loans from mortgage bankers - Answer ✔️✔️-true FHA mortgages are self insured while conventional mortgages require PMI - Answer ✔️✔️-true Ginnie Mae was created to purchase government mortgages on the secondary market - Answer ✔️✔️-false prepaid interest to reduce the interest rate over the life of the loan - Answer ✔️✔️-discount points Freddie Mac offers ball oon mortgages but fannie mae doesn't - Answer ✔️✔️-true unacceptable borrowers include.. - Answer ✔️✔️-life estates, partnerships, non -profit organizations when is a co -signer typically permitted on a conventional loan? - Answer ✔️✔️-when the borrower is p utting down at least 10% borrower must contribute how much if the LTV is greater than 80%? (FNMA) - Answer ✔️✔️-5% maximum ratios for occupant borrower alone cannot exceed... - Answer ✔️✔️-35/43% DU is the automated system for.. - Answer ✔️✔️-fannie mae LPA is the system for - Answer ✔️✔️-freddie mac the higher the credit score, the lower potential for delinquency - Answer ✔️✔️-true the most accurate credit report - Answer ✔️✔️-RMCR - residential mortgage credit report an in file credit report contains only current information about the borrowers credit - Answer ✔️✔️-false chapter 13 bankruptcy allows for a 3 -5 year repayment plan - Answer ✔️✔️-true credit report is ordered at the end of the process just before it goes to the underwriter - Answer ✔️✔️-false Permanent and non permanent resident aliens are eligible for mortgage financing typically under the same terms as US citizens - Answer ✔️✔️-true On a purchase transaction, the co -borrower does not have to be listed as a purchaser on the sales contract - Answer ✔️✔️-false A 3/1 arm will usually have a higher interest rate than a 10/1 arm - Answer ✔️✔️-false Typically, what is the qualifying rate on a 1 -year ARM with a 2/6 caps and a start rate of 4.5? The fully indexed rate is 6.375% - Answer ✔️✔️-6.5% The fully indexed rate on an adjustable rate mortgage is calculated based on? - Answer ✔️✔️-
index+margin When several risk factors are present in one file, it is called ____ and is an indicator of the likelihood of default? - Answer ✔️✔️-layered risk a ch. 7 bankruptcy - Answer ✔️✔️-wipes out debt completely 5/25 balloon - Answer ✔️✔️-The loan is fixed for 5 years and then the note is due (balloons) or the customer chooses to extend. on a 7/1 ARM you qualify based on the start rate - Answer ✔️✔️-true The qu alifying rate for an ARM with an initial fixed rate period of five years or less is generally the greater of 2% above the start rate/ or the fully indexed rate - Answer ✔️✔️-true Negative amortization occurs when the combination of interest rate adjustment s and payment caps result in monthly payments that do not cover the monthly interest due - Answer ✔️✔️-true How much does a 2/1 buydown typically cost on a conventional loan? - Answer ✔️✔️-2.5 discount points on a scale from 450 -850, 700 is considered a ve ry low credit score - Answer ✔️✔️-false On a conventional mortgage, a lender may use a higher ratio when there are fully documented compensating factors that justify using the higher ratio and or the DU/LPA issues the approval - Answer ✔️✔️-true You do not count installment debts if they have less than 10 mo - Answer ✔️✔️-true In qualifying on conventional loans, should legal debts be counted in the ratios regardless of duration? - Answer ✔️✔️-false which agency has a 41 back ratio only - Answer ✔️✔️-VA FHA published qualifying ratios - Answer ✔️✔️-31/43 VA is not strict regarding job security - Answer ✔️✔️-false PITI - Answer ✔️✔️-principal, interest, taxes, insurance ways to determine HOI - Answer ✔️✔️-- ask borrower if they have gotten a quote - estimate by calculations HOI calculations - Answer ✔️✔️-sales price x . 3 = annual HOI when is PMI required? - Answer ✔️✔️-when borrower puts less than 20% down 95% LTV is riskier than 90% LTV because the borrower has less of their funds invested - Answer ✔️✔️-true 1 year ARM is riskier than a 30 -year fixed rate loan - Answer ✔️✔️-true home inspection is included in cash to close - Answer ✔️✔️-false When calculating a quick version of cash to close, the prepaids portion is what percentage of sales price? - Answer ✔️✔️-1-1.5% subordinate financing - Answer ✔️✔️-any loan type, secured by borrowers property, recorded after first lien.. convenient way for borrowers to avoid MI//pay off debt customer profile of fixed -rate second mortgage - Answer ✔️✔️-conservative, traditi onal borrowers who do not like ARMs borrowers ballin on a budget 5-10% for down payment second mortgage allows to avoid MI, lower monthly payments, control cash flow, and have continual access to the equity in our home as you pay down your loan balance - Answer ✔️✔️-
equity line The second mortgage works like a credit card. It will provide for a maximum loan amount that may or may not be fully disbursed at closing - Answer ✔️✔️-home equity line of credit another name for a true second mortgage - Answer ✔️✔️-fixed -rate second NOT a characteristic of a true second mortgage - Answer ✔️✔️-fixed pre paids When a second mortgage is obtained at the same time as a first mortgage, there are never any closing costs associated with the second - Answer ✔️✔️-false In the marketplace, subordinate financing is often referred to by other names. Which is not one? - Answer ✔️✔️-investment mortgage
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