Reverse mortgage - Study guides, Class notes & Summaries

All of the following are true regarding the counselor who meets with a prospective borrower for a reverse mortgage, except: A. The counselor explains the cost of the loan and the financial implications of obtaining it. B. The counselor is paid only if the borrower goes through with the reverse mortgage. C. At the end of the session, the counselor will provide a required certification of counseling. D. The counselor will provide guidance and advice on selecting a lender for the reverse mort...

(HECM) or Home Equity Conversion mortgage Reverse Mortgage 2023

HECM REVERSE MORTGAGE - A LOAN AGAINST HOME EQUITY PROVIDING CASH AVANCES TO A BORROWER AND REQUIRING NO REPAYMENT UNTIL A FUTURE TIME REVIEW 2023

Reverse Mortgages correct answersA loan used by qualified homeowners age 62 or older, who have equity in their homes, but little to no income This loan allows the elderly to use the equity in their homes to meet the expenses of living, or tp help pay for home improvements T or F? Borrowers do not have to repay the loan as long as they continue to live in the house correct answersTRUE What are the 3 types of Reverse Mortgages? correct answers1. Single Purpose 2. Home Equity Conversion M...

A reverse mortgage is... -Answer- a loan against the value of a home that provides cash advances to a borrower, requiring no repayment until a future time. A reverse mortgage is different from a home equity loan because -Answer- You do not have to make monthly repayments on a reverse mortgage A reverse mortgage must be repaid -Answer- When the last eligible borrower dies, sells, or permanently moves away The purpose of a reverse mortgage is most often -Answer- To generate cash Revers...

Reverse Mortgage (HECM) questions with correct answers

CRPC Practice Exam 1 A lump sum payment of the proceeds of a life insurance policy that is made to the beneficiary upon the insured's death - CORRECT ANSWER is generally exempt from income taxation. The lump sum proceeds of a life insurance policy (even if a MEC) paid to a beneficiary are generally exempt from income taxation. Withdrawals and loans from a MEC may be taxable. Life insurance proceeds, however, are subject to estate taxes if the deceased owned a life insurance po...

HECM EXAM QUESTIONS AND ANSWERS LATEST 2024 (142 QUESTIONS). A Counseling Agency's failure to follow all basic requirements required by HUD could result in which of the following: A. Termination of agency's HUD approval B. Suspension of agency's HUD approval C. Forfeiture of remaining federal grant funds D. Fines and or imprisonment E. a , b , and c F. all of the above - ANSWER- E. Termination of agency's HUD approval Suspension of agency's HUD approval Forfeiture of remaining fe...

The preferred debt-to-income ratio for applicants for VA loans is: 35% 43% 50% 41% correct answers41 In order for a small creditor to originate a balloon payment qualified mortgage, the small creditor must hold the loan in its portfolio for: Twelve months Three years Two years Five years correct answers3 years UFMIP is paid: in full when the loan reaches maturity. at the end of each year of the loan term. in full at the time of closing. at the end of each month. correct answers...