Calculating the debt-to-income ratio on monthly payments for qualified mortgages must be based on the highest

(A O)

two years of the mortgage.

B O

) three years of the mortgage.

(CO) five years of the mortgage.

(D O) seven years of the mortgage.

An interest-only mortgage loan is an example of:

an ARM loan.

(B 0) a jumbo loan.

(c O) an investment loan.

(D O) a nontraditional loan.

An interest-only mortgage loan is an example of:

an ARM loan.

(B 0) a jumbo loan.

(c O) an investment loan.

(D O) a nontraditional loan.

Which of the following requirements apply in order to be eligible for a reverse mortgage?

(A O) Delinquency on any federal debt is acceptable.

B @ The property must be occupied as a primary residence,

(c O'

I Property taxes due will be collected and paid at the time the homeowner passes away.

(D O) The total amount of the reverse mortgage is permitted to be greater than tie existing vile d he 7g

A mortgage loan originator (MLO) receives a borrower's loan application on Monday, June 14, and

17. Which of the following fees may be collected by the MILO on June 14?

(A O) Appraisal fee

(B O) Application fee

(C O) Origination fee

(DO) Credit report fee

Machook An

When an appraisal report is completed and a mortgage loan originator (MLO) notices the owner of record on the apraisal report does not mat the refinance loan application, which of the following documents should the MLO review to verify the corett property onnership?

A O) Mortgage application

(B O) Preliminary title report

(c O) Homeowner's insurance policy

(D O) Suspicious Activity Report (SAR)

Which of the following terms best describes the real estate practice of refusing to lend money or extend credit ta broners in res and/or refusing to lend to residents of certain areas based on the racial or ethnic composition of the neighborhood?

(A O) Profiling

(B O Redlining

(c O Discrimination

(D O Affirmative action

The first notice or filing for foreclosure may be made after the borrower is how many davs late on the mortgage lan?

(A O) 45 days

B 0) 90 days

(cO) 120 days

(D O) 180 days

Which of the following actions is specified in the Gramm-Leach-Biley Act as a procedure to keg diet shermatta

(A O Ensure that appropriate safeguards are employed once the loan has dosed

B O) Return all loan applications and related documentation once the loan has dosed

(C O) Keep all application information in electronic format rather than as a paper cap

(D O) Destroy all loan applications and related documentation once the loan has dosed

For which of the following reasons might a borrower obtain a purchase money second mortgage?

(A O) To pay off higher interest rate credit cards

(B 0) To pay down the balance of an existing mortgage

(c O) To get a lower interest rate on their second mortgage

(D O) To avoid a mortgage insurance payment on a first mortgage

A mortgage loan originator (MLO) should inform their company of potential fraud i the MO:

(A O) suspects that a processor is changing pay stubs.

B O) suspects that another MLO is co-sponsoring a real estate agents promotond event.

(C O) overhears a processor requesting a rush approval on a VA loan.

(D O) receives multiple applications from an individual realestate agent for a new tousing suddison.

A mortgage loan originator (MLO) should inform their company of potental raud fraMo.

suspects that a processor is changing pay stubs.

8 0

) suspects that another MLO is co-sponsoring a real estate agent's promotionaleet.

(Co) overhears a processor requesting a rush aproval on a VA loan.

00 receves rmutiple apriators fonan natridaleailastveautorror baagss

On an FHA-insured loan, the FHA insurance protects the lender in the event that.

the borrower is unable to pay the loan.

(B O there is a prior lien against the property.

( o) the lender is not able to find an investor to purchase the loan.

(D O) the property suffers damage causing the value to fall below the appraised value.

A creditor must provide an applicant for a first lien mortgage loan with a notice in winting dies f

) three days before loan consummation.

B O

three calendar days after the application.

(cO

three business days after the application.

(DO

seven business days after the application.

Calculalor

Notepad

Which of the following funds is acceptable to close a loan?

(A O) Loan from family

(B 0) A note receivable

(CO) Proceeds from the sale of a vehicle

(DO Unverified funds kept in a safe at home

Locking file cabinets, keeping passwords private and encryping sensitive austome and comply with the:

A

Gramm-Leach-Bliley Act.

8 0

Truth in Lending Act (TILA).

(cO

Home Mortgage Disclosure Act (HMDA).

(D 0)

Real Estate Settlement Procedures Act (RESPA),

Which of the following situations is considered a disqualifying event presenting a mote

The MLO has been subject to a cease-and-desist order.

The MLO has an outstanding unpaid, delinquent credit card bill.

The MLO has had a consumer complaint filed against them under their curent asse.

(G0) The MLO previously applied for a state license under tempora aut

The collection of a borrower's race, sex and ethnicity is requested by the federal go enets?

Federal Trade Commission Act.

(B O) Fannie Mae underwriting guidelines.

(C 0) Equal Credit Opportunity Act (ECOA).

D

Real Estate Settlement Procedures Act (RESPA).

The collection of a borrower's race, sex and ethnicity is requested by the federal go enets?

Federal Trade Commission Act.

(B O) Fannie Mae underwriting guidelines.

(C 0) Equal Credit Opportunity Act (ECOA).

D

Real Estate Settlement Procedures Act (RESPA).

If a property's appraised value is $200,000, the sale price is $215,500, the don payment ano to-value (LTV) ratio?

The LTV ratio is 75%.

B O) The LTV ratio is 77%.

(C O) The LTV ratio is 83%.

(D O) The LTV ratio is 91%.

Which of the following scenarios may indicate income fraud and would require aditoral mestigery

A O

) A decrease in income from prior year

8 O

Inconsistent pay stub and employment information

(C O) An undisclosed two month gap in employment history

(D O) W-2 employee statements from multiple employers in same year

Which of the following scenarios may indicate income fraud and would require adational investgaonsyamte.

A O) A decrease in income from prior year

(B 0) Inconsistent pay stub and employment information

(cO

An undisclosed two month gap in employment history

) W-2 employee statements from multiple employers in same year

Over the course of an ARM, payments will:

A O) move up only.

(B O) move down only.

) move up or down.

(D O) remain constant.

Regarding the rescission period, a creditor may fund a refinance loan:

A C as of the settlement date.

) after the first business day following the settlement date.

CO after the second business day following the settlement date.

(D O) after the third business day following the settlement date.

A primary purpose of the SAFE Act is to:

A O provide a comprehensive licensing and supervisory database of mortgage ban orgirate Mist,

(B O) restrict the number of MLOs who are permitted to originate residential mortgage lars

(CO) encourage the filing of consumer complaints against MLOs.

B O) govern and regulate the compensation of MLOs.

On which of the following days must the mortgage loan originator provide the rital discare I me cica te

(A O'

) Monday

B (

Tuesday

(CO) Wednesday

(D O) Thursday

Under Regulation B, when a mortgage application is denied, the creditor must provide tre apicart o we fit

A O

Copy of the applicant's credit report

(B O

Applicant's credit score disclosures

(C O) Fair Housing Act Fair Lending Notice

0

) Equal Credit Opportunity Act (ECOA) anti-discrimination notice

Under Regulation B, when a mortgage application is denied, the crestar must fraide te relent re

(A O

Copy of the applicant's credit report

(B 0) Applicant's credit score disclosures

(C O) Fair Housing Act Fair Lending Notice

(D ) Equal Credit Opportunity Act (ECOA) ant-discrimination notc.

All of the following information must be provided in advertisements that ride it rferes an a

APR.

B

)) terms of repayment.

(cO ) prepayment penalty.

(DO) amount or percentage of any down payment.

The sales comparison approach on a real estate appraisal requires a minimum of how many dosed congardie sis a tr road?

(A O) 1 sale

(B O

)) 2 sales

(CO) 3 sales

(6 0)

4 sales

The sales comparison approach on a real estate appraisal requires a minimum of how many die

A O

) 1 sale

(B 0

) 2 sales

(C 0) 3 sales

(D (

A sales

The sales comparison approach on a real estate appraisal requires a minimum of how many closed comparble sis in the re

(A O) 1 sale

2 sales

(c 0) 3 sales

DO) 4 sales

Notepad

DARVIN BARTHELLENN (SAFE MILO Ted. -N

Session 1 - Question 61 of 120 ga mswe

After a borrower's loan has been submitted and approved by an underwriter, the borrower informs a mortgage can notice, but the layoff will not happen until after the loan closing. The MID must:

O do nothing, as the borrower will be employed at the time of the loan closing.

(B O) notify the underwriter that the borrower will soon be unemployed

(C O) notify the investor after the loan closes.

(D O) notify the closing agent.

A mortgage loan originator is required to complete how many tours

A O

1 hour

(B 0) 2 hours

C 3 hours

(D O) 4 hours

Which of the following loans is a nontraditional mortgage?

A O) A mortgage with a 15-year term

B 0) A 30-year mortgage with an adjustable rate

CO) A 30 -ear mortgage to a borevertha celt sore stestors

DO) A 30-year mortgage that wil be assigned to another entty once the nortagra dad

Which of the following terms refers to a settlement at which a loan is funded by a arte person advancing the funds?

(A 0) Hedging

80 Table funding

(CO) Underwriting

60) Securitizing

The government agency charged with oversight responsibility of the Home Ornerstig and I

HUD.

0) the Department of Justice.

(C O) the individual state regulators.

(D O) the Consumer Financial Protection Bureau (CFPB).

Which of the following information is required to calculate the interest per den for a des

(A O) The monthly payment amount

B

The term of the loan

(C O) The interest rate

(D O) The amount of the escrow

State licensing regulators generally do not have the power to:

revoke licenses.

(B set requirements for licensing.

(c 0) issue cease and desist orders.

DO) criminally prosecute illegal adts.

State licensing regulators generally do not have the power to:

revoke licenses.

set requirements for licensing.

(Co issue cease and desist orders.

(D 0) criminally prosecute illegal acts.

If a Loan Estimate is revised due to "changed circumstances," within how many business days from the change of the dircumstance must a motgags originator provide the revised Loan Estimate to a borrower?

(A O

3 davs

(8 0)

5 days

(c 0) 7 days

(0)

10 days

Which of the following reasons is acceptable for denying a loan under the Equal Craft Oggertunty Ic BIg

(AO Sex

go Credit history

(CO) Marital status

(DO) Age, providing the capacity to contract is evident

Which of the following borrower's personal information is included in the defindon den mi

(A0) Employment history

B

Total assets

(C Q) Social Security number

(D0) Date of birth