TEXAS PRINCIPLES OF REAL ESTATE II FINAL 2023-2024 ACTUAL
EXAM 250 QUESTIONS AND CORRECT DETAILED ANSWERS
(VERIFIED ANSWERS) |AGRADE||BRAND NEW!!
The legal procedure under which property may be sold to satisfy an unpaid
promissory note.
a. Primary mortgage market
b. Redlining
c. Underwriting
d. Foreclosure
e. Origination – ANSWER- D
The market in which borrowers and mortgage lenders come together to create and
negotiate terms of a mortgage transaction is called the primary mortgage market.
a. True
b. False – ANSWER- A
The person who evaluates a borrower’s loan application and examines a borrower’s
credit worthiness for the risk of repayment to the lender is called a/an:
a. Mortgage Broker
b. Mortgage Banker
c. Underwriter
d. Agent – ANSWER- C
The Consumer Financial Protection Bureau enforces:
a. The Real Estate Settlement Procedures Act
b. The Fair Credit Reporting Act
c. The Truth In Lending Act
d. All of the above – ANSWER- D
The Equal Credit Opportunity Act prohibits credit discrimination on the basis of:
a. Race
b. Religion
c. Sex
d. All of the above – ANSWER- D
The government purchases existing mortgages from the primary mortgage market
for the secondary market.
a. True
b. False – ANSWER- A
All of the following are true about Fannie Mae, EXCEPT:
a. It plays a vital role in financing and increasing home ownership opportunities in
the U.S.
b. It operates exclusively in the secondary market
c. It used to be called The Federal Home Loan Mortgage Corporation
d. It standardizes mortgage loans, thereby attracting investors who traditionally
have not
invested in the primary market – ANSWER- C
The Loan Estimate does not allow for any charges to increase at closing.
a. True
b. False – ANSWER- B
The right of the government to take an individual’s land if he or she dies without a
will or heirs.
a. Police power
b. Ad valorem
c. Taxation
d. Escheat
e. Condemnation – ANSWER- D
The government’s right to tax real estate.
a. Police power
b. Ad valorem
c. Taxation
d. Escheat
e. Condemnation – ANSWER- C
The right of the government to regulate and control the way that an individual uses
his or her land.
a. Police power
b. Ad valorem
c. Taxation
d. Escheat
e. Condemnation – ANSWER- A
The action of government seizure of land for the good of the public.
a. Police power
b. Ad valorem
c. Taxation
d. Escheat
e. Condemnation – ANSWER- E
According to value
a. Police power
b. Ad valorem
c. Taxation
d. Escheat
e. Condemnation – ANSWER- B
The government retains the following rights in lands, EXCEPT: