Question 1

An escrow account is designed to reduce the cost of a mortgage.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following is an example of a closing cost?

Accepted Answer

A)   origination fee
B)   mortgage application fee
C)   earnest money
D)   title insurance
E)   down paymentF) C) and E)
G) A) and E)

Question 3

A split-rate mortgage helps to reduce interest rate risk.

Accepted Answer

A) True 
 B)False

Question 4

Refinancing of a mortgage is recommended when

Accepted Answer

A)   interest rates rise.
B)   interest rates fall.
C)   the escrow account balance declines.
D)   two or more points are required by the lender at the time of closing.
E)   refinancing costs are lowF) A) and D)
G) B) and C)

Question 5

A lease always gives the landlord the right to:

Accepted Answer

A)   to increase the rent
B)   to evict the tenant at any time
C)   to take legal action against a tenant for nonpayment of rent
D)   to ignore government housing regulations
E)   cancel the leaseF) All of the above
G) A) and E)

Question 6

Real estate agents will provide you with services using an hourly rate.

Accepted Answer

A) True 
 B)False

Question 7

Closing costs are the fees and charges owed when making the decision to refinance a home.

Accepted Answer

A) True 
 B)False

Question 8

A real estate agent can best assist a homebuyer by

Accepted Answer

A)   assisting in getting a mortgage
B)   setting the purchase price.
C)   offering new home warranties.
D)   assisting you in obtaining financing.
E)   paying the first month's mortgage payment.F) All of the above
G) A) and E)

Question 9

A cost associated with home buying would be

Accepted Answer

A)   appraisal.
B)   property taxes.
C)   legal fees.
D)   A & B are correct.
E)   A,B and C are correct.F) D) and E)
G) C) and D)

Question 10

The most commonly considered factor when selecting a home is the

Accepted Answer

A)   size of the home.
B)   condition of the home.
C)   location of the home.
D)   local zoning laws.
E)   current interest rates.F) D) and E)
G) A) and D)

Exam 7: Selecting and Financing Housing

Refinancing of a mortgage is recommended when

Correct Answer
verified

An escrow account is designed to reduce the cost of a mortgage.

Correct Answer
verified

Which of the following is an example of a closing cost?

Correct Answer
verified

A split-rate mortgage helps to reduce interest rate risk.

Correct Answer
verified

Closing costs are the fees and charges owed when making the decision to refinance a home.

Correct Answer
verified

The most commonly considered factor when selecting a home is the

Correct Answer
verified

A real estate agent can best assist a homebuyer by

Correct Answer
verified

A cost associated with home buying would be

Correct Answer
verified

Real estate agents will provide you with services using an hourly rate.

Correct Answer
verified

A lease always gives the landlord the right to:

Correct Answer
verified

Exam 7: Selecting and Financing Housing

Refinancing of a mortgage is recommended when

Correct AnswerverifiedShow Answer

An escrow account is designed to reduce the cost of a mortgage.

Correct AnswerverifiedShow Answer

Which of the following is an example of a closing cost?

Correct AnswerverifiedShow Answer

A split-rate mortgage helps to reduce interest rate risk.

Correct AnswerverifiedShow Answer

Closing costs are the fees and charges owed when making the decision to refinance a home.

Correct AnswerverifiedShow Answer

The most commonly considered factor when selecting a home is the

Correct AnswerverifiedShow Answer

A real estate agent can best assist a homebuyer by

Correct AnswerverifiedShow Answer

A cost associated with home buying would be

Correct AnswerverifiedShow Answer

Real estate agents will provide you with services using an hourly rate.

Correct AnswerverifiedShow Answer

A lease always gives the landlord the right to:

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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