FINAL review

FINAL review - University of Southern California PPD 362...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Page 1 of 6 University of Southern California PPD 362 REAL ESTATE FUNDAMENTALS FOR PLANNING & DEVELOPMENT Final Exam Study Guide Final: December 10, 2009 The Final Exam will cover all items from the Mid Term Study Guide, as well as the following topics and chapters: Chapter 10 – Real Estate Finance: The Laws and Contracts 1. What are the three types of prepayment penalties? 2. In addition to the monthly loan payment, lenders often collect extra money for property taxes, community association fees, and casualty insurance premiums. These funds are then paid by the lender to the appropriate parties on behalf of the borrower when due. Until the appropriate parties are paid, what must these extra funds be kept in? 3. Which governmental entity can have a lien superior to the lender during a foreclosure of a property? 4. What is a “note”? 5. If the proceeds from a foreclosure sale are insufficient to cover all the expenses associated with the foreclosure, the lender may take what action against the borrower? 6. What is the “mark-up” referred to that the lender adds to the index rate? 7. What is a “rate cap”? 8. What is a “deed in lieu of foreclosure”? 9. What is “negative amortization”? 10. To identify the parties to a mortgage loan, who is the “mortgagor” and who is the “mortgagee”? Chapter 11 – Mortgage Types and Borrower Decisions 11. Given the following information, how much mortgage insurance is required? Purchase price: $160,000; Loan amount: $144,000; Down payment: 10 % 12. Fannie Mae and Freddie Mac operate in which mortgage market? 13. Standard home loans that are not insured or guaranteed by an agency of the U.S. government are referred to as what type of loans?
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Page 2 of 6 14. What is the most predominant conventional mortgage? 15. What product protects a lender against losses due to default on the loan? 16. What is a “reverse mortgage”? 17. What is the basic distinction between FHA and VA loans? 18. Jan is shopping for a home loan in order to purchase her retirement home. She has several loan options available. All things being equal and assuming she will pay the loan to maturity, she should select the loan with the lowest _____________________. Chapter 13 – Brokerage and Listing Contracts 19. What is a “commission”? 20. Roger listed his property with one broker. He sold the property himself one month later to a personal friend. Roger will still have to pay the broker a commission, even though he found the buyer himself. In this case, what have the seller and broker entered into?
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 01/31/2010 for the course PPD 362 taught by Professor Nielson during the Fall '08 term at USC.

Page1 / 6

FINAL review - University of Southern California PPD 362...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online