1) What can be among the costs of refinancing? (4 Points)

Search costs for a new mortgage.

Upfront fees

Opportunity costs of not refinancing more cheaply within the close future

All of the above

None of the above

2) A Mortgage Broker is best understood as a Mortgage Banker. (2 Points)

True

False

3) Which organization is primarily focused on guaranteeing mortgage-backed securities based on pools of FHA and VA mortgages? (4 Points)

Fannie Mae

Freddie Mac

Ginnie Mae

4) Mortgage backed Securities (MBS) became more important to finance mortgages since the 1980s. (2 Points)

True

False

5) Who was dominating the mortgage industry within the United States into the 1970s? (4 Points)

International business banks

Credit unions operating state wide

Thrifts and local banks

National business banks

6) How is the process of combining individual mortgages into bigger bundles called? (4 Points)

Pooling

Collecting

Sampling

Selecting