Real Estate Principles Unit 10 multiple choice 1

A statistical method lenders used to assess a borrowers credit risk

• Credit history

• Credit rating

• Credit scoring

Lender, whose principal business is the origination, closing, funding, selling, and servicing of loans secured by real property

• Escrow companies

• Mortgage companies

• FDIC bank

• Fannie Mae

Consumer-protection law passed to promote the informed use of consumer credit by requiring disclosures about its terms and costs

• Regulation Z

• V Lending

• Truth in Lending Act

• Transparency Act

A company with a minimum of 100 shareholders that owns operates income producing real estate or engages in financing real estate

• Mortgage trust lender

• Real estate investment trust

• DDIC lender

• Freddie Mac

The relative cost of credit expressed as a yearly percentage rate?

• ARP

• APR

• AIR

• AES

Revolving line of credit extended to a mortgage company from a warehouse lender

• Underwritten

• Adjustable

• Warehousing

• Adaptable

Market in which lenders make mortgage loans directly to borrowers

• Secondary mortgage market

• Primary mortgage market

• Direct market

• Exclusive market

Real estate licensee who is a third-party originator

• Mortgage lender

• Mortgage broker

• Escrow lender

• Associate broker

An economic situation in which the supply of money is limited, and the demand for money is high as evidenced by high interest rates

• Bull Market

• Inflation

• Tight money

• Bear market

A resale marketplace for mortgage loans

• Primary mortgage market

• Fannie Mae

• Secondary mortgage market

• Freddie Mac