100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
Previously searched by you
FREDDIE MAC – CREDIT SMART EXAM WITH CORRECT ACTUAL QUESTIONS AND CORRECTLY WELL DEFINED ANSWERS LATEST 2024 – 2025 ALREADY GRADED A+ $17.99
Add to cart
FREDDIE MAC – CREDIT SMART EXAM
WITH CORRECT ACTUAL QUESTIONS AND
CORRECTLY WELL DEFINED ANSWERS
LATEST 2024 – 2025 ALREADY GRADED A+
Many lenders require an escrow account to hold funds for property taxes and
property insurance payments. To ensure that taxes and insurance are paid on
time, it's a good idea to ask your mortgage company to set up an escrow account
for this purpose even if you're not required to have one. - ANSWERS-True
When determining whether to make a mortgage loan to a homebuyer, lenders
consider the 4 C's of lending: Capacity, Capital, Credit and Collateral.
Select the term that fits the description below:
Do you have property you can pledge as a security for a debt/loan? - ANSWERS-
Collateral
Do lenders use gross income or net profits when calculating mortgage
affordability for self-employed borrowers? - ANSWERS-Net profits
, An escrow account is a special account managed by the borrower that holds funds
for property taxes and property insurance payments. - ANSWERS-False
Having adequate cash reserves demonstrates to your lender that you have
responsibly managed your money and have savings and other assets to fall back
on in case of emergency. - ANSWERS-True
Capital - or cash to close - refers to the funds you need to save in order to cover
the cost of down payment and closing costs. - ANSWERS-True
The percentage of your gross monthly income that goes toward paying for your
housing expenses is called the "housing expense ratio" and is based on the total
housing payment, which includes: - ANSWERS-Principal, interest, property taxes,
homeowner's insurance, mortgage insurance, homeowner's or condo association
fees
Lenders don't include your future housing payment in your debt-to-income ratio,
only all other outstanding debts. - ANSWERS-False
The principal amount is the total amount borrowed. - ANSWERS-True
Acceptable sources of capital include: - ANSWERS-Funds from a family member,
funds from a down payment assistance program or funds from your savings
account
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller NurseLNJ. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $17.99. You're not tied to anything after your purchase.
