Reverse mortgage Study guides, Class notes & Summaries

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

The HECM Saver was introduced as an option to lower the upfront cost of a HECM by reducing the upfront mortgage insurance premium to: a. 0. b. 0.01% of the Maximum Claim Amount. c. 1% of the Maximum Claim Amount. d. 1.25% of the Maximum Claim Amount. - ANSWER-b If repairs are required but can be completed after closing, the lender will create a repair set-aside in the amount of: a. 15% of the maximum claim amount. b. 100% of the actual cost of repairs. c. 100% of the estimated cost of...

Reverse Mortgage (HECM) questions with correct answers

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...

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...

Who should you use the Widow's Pitch on? correct answer: Married People Who should you use the Payoff Pitch on? correct answer: People with mortgages Who should you use the Cash out Pitch on? correct answer: Single People under 75 with no CC debt or loans Who should you use the Nursing Home Pitch on? correct answer: People over 75 with poor health Who should you use the Debt Consolidation pitch on? correct answer: People with CC debt or loans Should you ever use more than 2-...

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...

HOME EQUITY correct answer: HOME VALUE MINUS LIENS ON THE HOME PURPOSE OF A REVERSE MORTGAGE correct answer: GENERATE CASH FORWARD MORTGAGE PURPOSE correct answer: THE ORDINARY MORTGAGE MOST PEOPLE USE TO PURCHASE HOME FORWARD MORTGAGE correct answer: BORROWERS EQUITY INCREASES OVER TIME THE LOAN BALANCES DECREASES AS PAYMENTS ARE MADE TO LENDER REVERSE MORTGAGE correct answer: RISING DEBT FALLING EQUITY TRANSACTIONS HECM BASIC FEATURES correct answer: THE BORROWER RETAINS T...

According to the Truth-in-Lending Act, a variation up to what amount is permitted for the annual percentage rate in a regular fixed-rate mortgage transaction as quoted in the Loan Estimate? 1% .5% .125% .25% - Answer-.125% The term "subordination" refers to: The process of releasing a lien The process of recording a lien The process of one lienholder accepting inferior lien priority in favor of another The process of researching a lien - Answer-The process of one lienholder accepting...