The requirement for private mortgage insurance is generally is continued when the loan-to-value ratio falls below:

A.) 20%

B.) 50%

C.) 80%

D.) 90%

C.) 80%

Which of the following documents itemizes all settlement costs including lender charges?

A.) Agreement of sale

B.) HUD-1/closing Disclosure

C.) Form 1003

D.) Forbearance agreement

B.) HUD-1/closing Disclosure

According to the Truth-in-Lending Act (TILA), the term "refinance" applies to

A.) A change in a payment schedule

B.) A reduction in annual percentage rate

C.) The renewal of a single payment obligation with no change in the original terms

D.) The satisfaction of an existing obligation and its replacement by a new obligation

D.) The satisfaction of an existing obligation and its replacement by a new obligation

What does a loan originator use to determine the estimated value of a property based on an analytical comparison of similar property sales?

A.) An appraisal

B.) A market survey

C.) An area survey

D.) A Cost-benefit analysis

A.) An appraisal

A discount point is BEST described as a charge the borrower pays to:

A.) A lender to decrease the interest rate on the mortgage loan

B.) A mortgage broker at the time of application to obtain a favorable rate

C.) The seller as part of the closing costs of a loan

D.) A lender to ensure against foreclosure

A.) A lender to decrease the interest rate on the mortgage loan

A buyer has made an earnest money payment of $5,000. The buyer pays an additional $2,000 in option money to be credited at closing on property with sale price of $160,000. If the required down payment is 20%, how much additional money will the buyer need to provide toward the down payment at closing?

A.) $32,000

B.) $27,000

C.) $30,000

D.) $25,000

D.) $25,000

$160,000 x .20 (20%) = 32000 - $7,000 = $25,000

If an applicant works 40 hours every week and is paid $13.52 per hour, what is the applicant's monthly income?

A.) $2,163.20

B.) $2,343.47

C.) $2,379.52

D.) $2,487.68

B.) $2,343.47

$13.52x 40 hours = $540.8 x 52 weeks = $28,121.6 annually /12month = $2,343.47 Monthly income

Which of the following methods of disclosure does NOT meet the requirements of Equal Credit Opportunity Act (ECOA)?

A.) E-mail

B.) Mailed letter

C.) Telephone

D.) Faxed letter

C.) Telephone

Term "20 basis points" expressed as a percentage is:

A.) 0.2%

B.) 0.20%

C.) 2.00%

D.) 20.00%

B.) 0.20%