Question 1

Mortgage lenders charge interest rates based on your

Accepted Answer

A) credit score. 
B) front-end ratio. 
C) liability. 
D) escrow. 
A) credit score. 
B) front-end ratio. 
C) liability. 
D) escrow.

Question 2

A lawsuit filed against a landlord for nonperformance may be heard in small claims court.

Accepted Answer

A) True 
 B)False

Question 3

Mortgage loans can be found in your hometown as well as online.

Accepted Answer

A) True 
 B)False

Question 4

An advantage of variable-rate loans is (are)

Accepted Answer

A) longer repayment terms. 
B) stable monthly payments. 
C) lower initial APR. 
D) All of these. 
A) longer repayment terms. 
B) stable monthly payments. 
C) lower initial APR. 
D) All of these.

Question 5

Three factors affect the monthly payment on a mortgage loan: the amount borrowed,the interest rate charged,and the time period of the loan.

Accepted Answer

A) True 
 B)False

Question 6

Jamie and Danny are financing their new $275,000 home with a 7.5 percent,30-year mortgage.They will be making a $55,000 down payment and paying 1 point.How much will the point cost in dollars?

Accepted Answer

A) $550 
B) $2,200 
C) $2,750 
D) $3,300 
A) $550 
B) $2,200 
C) $2,750 
D) $3,300

Question 7

Homeowner's fees on condominiums do not include funds to pay

Accepted Answer

A) monthly mortgage payments of property owners. 
B) maintenance of the common areas. 
C) insurance covering the exterior of the building(s). 
D) maintenance of the building(s). 
A) monthly mortgage payments of property owners. 
B) maintenance of the common areas. 
C) insurance covering the exterior of the building(s). 
D) maintenance of the building(s).

Question 8

The typical required loan-to-value ratio today is no more than

Accepted Answer

A) 90 percent. 
B) 80 percent. 
C) 70 percent. 
D) 50 percent. 
A) 90 percent. 
B) 80 percent. 
C) 70 percent. 
D) 50 percent.

Question 9

When a tenant who wants to move before his or her lease is up and leases to another tenant,this is called

Accepted Answer

A) releasing. 
B) leasing. 
C) subleasing. 
D) co-leasing. 
A) releasing. 
B) leasing. 
C) subleasing. 
D) co-leasing.

Question 10

The PITI acronym in mortgage lending stands for

Accepted Answer

A) principal, interest, taxes and insurance. 
B) principal, investment, taxes and interest. 
C) principal, interest, taxes and investment. 
D) principal, insurance, taxes and interest. 
A) principal, interest, taxes and insurance. 
B) principal, investment, taxes and interest. 
C) principal, interest, taxes and investment. 
D) principal, insurance, taxes and interest.

Question 11

Buying a home with a land contract is very safe for the buyer.

Accepted Answer

A) True 
 B)False

Question 12

Nongovernmental ____ mortgage insurance is generally required for any mortgage loan where the down payment is less than 20 percent.

Accepted Answer

A) VA 
B) Private 
C) FHA 
D) Brokerage 
A) VA 
B) Private 
C) FHA 
D) Brokerage

Question 13

Lenders use ____ ratios when setting limits on how much a home buyer can borrow.

Accepted Answer

A) front-end and back-end 
B) only front-end 
C) assets-to-debt 
D) equity-to-liability 
A) front-end and back-end 
B) only front-end 
C) assets-to-debt 
D) equity-to-liability

Question 14

By law,interest points must be included when calculating the APR for the loan.

Accepted Answer

A) True 
 B)False

Question 15

Less than ____ percent of households headed by persons aged 55 to 64 are renters.

Accepted Answer

A) 10 
B) 20 
C) 30 
D) 40 
A) 10 
B) 20 
C) 30 
D) 40

Question 16

-Assuming the taxes and insurance on this home will be $150 per month and the lender requires a front-end ratio of 0.31,how much will Janice and Roland's monthly gross income need to be to qualify for loan 1?

Accepted Answer

A) $2,548 
B) $2,935 
C) $3,074 
D) $3,558 
A) $2,548 
B) $2,935 
C) $3,074 
D) $3,558

Question 17

With a home-equity installment loan,a specific amount of money is borrowed for a fixed time period with fixed monthly payments.

Accepted Answer

A) True 
 B)False

Question 18

Homeowners today often spend up to ____ percent of disposable income on housing.

Accepted Answer

A) 30 to 40 
B) 40 to 50 
C) 50 to 60 
D) 60 to 70 
A) 30 to 40 
B) 40 to 50 
C) 50 to 60 
D) 60 to 70

Question 19

Seller financing is generally a shorter-term arrangement than financing with a financial institution.

Accepted Answer

A) True 
 B)False

Question 20

Using a front-end ratio of 28 percent,one would need an annual gross income of at least ____ to buy a home with total monthly payments of $1,245.

Accepted Answer

A) $43,057 
B) $53,357 
C) $62,250 
D) $63,115 
A) $43,057 
B) $53,357 
C) $62,250 
D) $63,115

Mortgage lenders charge interest rates based on your

A lawsuit filed against a landlord for nonperformance may be heard in small claims court.

Mortgage loans can be found in your hometown as well as online.

An advantage of variable-rate loans is (are)

Three factors affect the monthly payment on a mortgage loan: the amount borrowed,the interest rate charged,and the time period of the loan.

Jamie and Danny are financing their new $275,000 home with a 7.5 percent,30-year mortgage.They will be making a $55,000 down payment and paying 1 point.How much will the point cost in dollars?

Homeowner's fees on condominiums do not include funds to pay

The typical required loan-to-value ratio today is no more than

When a tenant who wants to move before his or her lease is up and leases to another tenant,this is called

The PITI acronym in mortgage lending stands for

Buying a home with a land contract is very safe for the buyer.

Nongovernmental ____ mortgage insurance is generally required for any mortgage loan where the down payment is less than 20 percent.

Lenders use ____ ratios when setting limits on how much a home buyer can borrow.

By law,interest points must be included when calculating the APR for the loan.

Less than ____ percent of households headed by persons aged 55 to 64 are renters.

-Assuming the taxes and insurance on this home will be $150 per month and the lender requires a front-end ratio of 0.31,how much will Janice and Roland's monthly gross income need to be to qualify for loan 1?

With a home-equity installment loan,a specific amount of money is borrowed for a fixed time period with fixed monthly payments.

Homeowners today often spend up to ____ percent of disposable income on housing.

Seller financing is generally a shorter-term arrangement than financing with a financial institution.

Using a front-end ratio of 28 percent,one would need an annual gross income of at least ____ to buy a home with total monthly payments of $1,245.

Understanding Personal Finance

Career Planning

Financial Statements,tools,and Budgets

Managing Income Taxes

Managing Checking and Savings Accounts

Building and Maintaining Good Credit

Credit Cards and Consumer Loans

Vehicles and Other Major Purchases

Managing Property and Liability Risk

Managing Health Expenses

Life Insurance Planning

Investment Fundamentals

Investing in Stocks and Bonds

Mutual Funds and Exchange Traded Funds

Real Estate and High-Risk Investments

Retirement and Estate Planning

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Exam 9: Obtaining Affordable Housing

Mortgage lenders charge interest rates based on your

A lawsuit filed against a landlord for nonperformance may be heard in small claims court.

Mortgage loans can be found in your hometown as well as online.

An advantage of variable-rate loans is (are)

Three factors affect the monthly payment on a mortgage loan: the amount borrowed,the interest rate charged,and the time period of the loan.

Jamie and Danny are financing their new $275,000 home with a 7.5 percent,30-year mortgage.They will be making a $55,000 down payment and paying 1 point.How much will the point cost in dollars?

Homeowner's fees on condominiums do not include funds to pay

The typical required loan-to-value ratio today is no more than

When a tenant who wants to move before his or her lease is up and leases to another tenant,this is called

The PITI acronym in mortgage lending stands for

Buying a home with a land contract is very safe for the buyer.

Nongovernmental ____ mortgage insurance is generally required for any mortgage loan where the down payment is less than 20 percent.

Lenders use ____ ratios when setting limits on how much a home buyer can borrow.

By law,interest points must be included when calculating the APR for the loan.

Less than ____ percent of households headed by persons aged 55 to 64 are renters.

-Assuming the taxes and insurance on this home will be $150 per month and the lender requires a front-end ratio of 0.31,how much will Janice and Roland's monthly gross income need to be to qualify for loan 1?

With a home-equity installment loan,a specific amount of money is borrowed for a fixed time period with fixed monthly payments.

Homeowners today often spend up to ____ percent of disposable income on housing.

Seller financing is generally a shorter-term arrangement than financing with a financial institution.

Using a front-end ratio of 28 percent,one would need an annual gross income of at least ____ to buy a home with total monthly payments of $1,245.

Understanding Personal Finance

Career Planning

Financial Statements,tools,and Budgets

Managing Income Taxes

Managing Checking and Savings Accounts

Building and Maintaining Good Credit

Credit Cards and Consumer Loans

Vehicles and Other Major Purchases

Managing Property and Liability Risk

Managing Health Expenses

Life Insurance Planning

Investment Fundamentals

Investing in Stocks and Bonds

Mutual Funds and Exchange Traded Funds

Real Estate and High-Risk Investments

Retirement and Estate Planning

Filters