Regulations
General Knowledge
Loan Types
Down Payments
Math
100

Regulation N, also known as the MAP.

What is Mortgage Acts and Practices?

100

An agreement between a borrower and a lender in which the borrower conveys an interest in a property to the lender as a security for the loan

What is a mortgage?

100

Conforming conventional loans.

What are Fannie Mae and Freddie Mac?

100

FHA requires this minimum amount down.

What is 3.5%? 

100

If the 1st loan amount is $432,000, the sale price is $450,000 and the home appraised at $451,000, this would be 96%.

What is LTV?

200

Fair Credit Reporting Act

What is FCRA?

200

This is the stage in which a mortgage loan originated.

What is loan production?

200

Insured by the Federal Housing Administration against loss by foreclosure

What is an FHA loan?

200

Zero percent down is only offered by which loan type?

What is USDA?

200

If the LO has a borrower that is an hourly employee, the LO would need to calculate this by the number of hours worked, then multiply that answer by 52, and then divide by 12 in order to get the monthly gross income.

What is hourly wage?

300

Right to adverse action notice, right to a copy of the credit report, right to request credit score, right to dispute negative or inaccurate information, and the right to limit prescreened offers.

What are the five rights of Regulation V or the Fair Credit Reporting Act?

300

The URLA or the 1003

What is the name for a mortgage loan appliation?

300

102% financing.

How much financing can a USDA loan have?
400

Requires lenders to disclose geographic distribution of loans and applications.

What does HMDA require? 

400

They make the credit decision and analyze the creditworthiness and willingness to pay of the borrower.

What is an underwriter? 

400

Jumbo loans, ALT-A, A-Loan, Sub-prime and seller financed.

What are non-conforming loan programs?

500

Home Ownership and Equity Protection Act, 1994

What is HOEPA? 

500

Anything of value in exchange for business referrals

What is a kickback?

500

This loan type requires borrowers to be 62 years old or over.

What is a reverse mortgage?

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