Xinnix Ground School Questions and Answers 100% Verified

Xinnix Ground School Questions and Answers 100% Verified Flipping is a scheme where several people each purchase a property within the neighborhood and then sell the properties to one another, inflating the price of t ...

Xinnix Ground School Questions and Answers 100% Verified Flipping is a scheme where several people each purchase a property within the neighborhood and then sell the properties to one another, inflating the price of the home with each sale. ✔✔False YTD paystubs will be requires from a borrower that is self-employed (schedule C) ✔✔False A borrower requesting a jumbo loan will qualify for an agency loan ✔✔False Trailing spouse income can be used for qualifying purposes. ✔✔False The following are types of renovation mortgages ✔✔FNMA Homestyle and FHA 203(K) The maximum LTV for a 1-unit investment property is 95% ✔✔False A simultaneous second mortgage is obtained at the same time as a first mortgage. ✔✔True The builder must provide an appraisal certificate to the mortgage company on a FHA new construction loan prior to closing. ✔✔False HOA dues are included in the PITI calculation ✔✔False A room addition is allowed under the FHA 203(K) limited programs. ✔✔False Loans with an LTV higher than 80% generally require mortgage insurance. ✔✔True Tenancy in Common is not an acceptable manner in which title may be held. ✔✔False FHA guidelines require 3 years to have passed since a foreclosure, deed in lieu, or short sale before a borrower may apply for an FHA loan ✔✔True If a borrower qualifies for an agency loan of $295,750, FHA is a viable loan option. ✔✔True A borrower's brother would like to give her money to help towards the down payment of her new house. This would be considered______ ✔✔A gift from a relative and would require a gift letter, as well as proof that the funds have been transferred to the borrower's account. Depreciation should be added to a borrower's income who owns several investment properties. ✔✔True Unless a borrower can document extenuating circumstances, they must wait at least 7 years from a Chapter 7 bankruptcy or foreclosure to apply for conventional financing ✔✔False A HUD Consultant would not be required for an FHA 203(k) standard program ✔✔False A partner's percentage of ownership and earnings can be located on Schedule E part 2 of their personal tax returns ✔✔False VA sets their own maximum loan limits. ✔✔False The maximum allowable ratios for an owner-occupant when using a non-occupant co-borrower per FHLMC guidlines is ________. ✔✔35/43 Reimbursed business expenses are ________________ ___________ the borrowers gross income. ✔✔Added to Unreimbursed business expenses ___________ the borrower's income ✔✔are subtracted from If your borrower is being relocated and needs to close in 30-days, and their spouse will not be moving for 3 months, the spouse's income can still be used to qualify. ✔✔False Income or losses derived from partnerships can be located on Schedule K-1 of a borrower's personal tax return. ✔✔False If a borrower tell you about a liability that is not listed on the credit report, it doesn't need to be included on the loan application ✔✔False A liability not listed on the credit report will typically need to be included on the loan application. ✔✔True The borrower does not want their P&I payments to go above $1,250 per month on a 30-year term. With an interest rate of 6.5 what is the maximum loan amount for this borrower? (Round to the nearest 50) ✔✔$197,750 (Hint: type in what you know) Based on the following scenario, what is the borrower's qualifying ratios under FHLMC guidelines? PITI: $3,350 Income: $8,350 Debt: $595 car payment ✔✔40.12/47.25 (Hint: PITI/Income and PITI + Debt/Income) Using the information provided, answer the following FHA question: Sales Price = 137,300 Interest rate = 6.875% 30 Year fixed Taxes = 1.5% Homeowners Insurance =.3% What is the PITI? ✔✔(Awaiting answer) Which type of letter would be best for a borrower who has made an offer on a property and has provided their pay stubs, bank statements and W2s? ✔✔Commitment letter