1) In the last phase of applying for a loan an appraisal of the one occurs to determine the value of the home based on ________features condition? a. economic climate b. style of architecture c. location d. square footage e. yard size
2) In the early years of the loan most of the money paid goes to (is applied to) paying _______ a. principle b. interest c. taxes d. yard size
3) A ______ cap restricts the amount by which the interest rate can increase or decrease during an adjustable rate mortgage term a. equity b. interest c. rate d. payment
4) Payment caps keeps the payment on an arm at a given level this can result in a loss of ________ this increase the balance own on loan is called negative amortization. a. principle b. interest c. appreciation d. equity
5. Reserve mortgages can help homeowners with tax free income in the form of a loan that is paid back with interest added when the home is sold or the homeowner dies. the homeowner needs to be wary of _______ fees
6. A _______ deed guarantees that title the buyer of a home receives is good and certifies the seller is the true owner of the property a. quit calm b. certified c. warranty d. guaranteed
7. 60 money deposited with the lending financial institution for the payment of property taxes and homeowners insurance is held as an _______ a. down payment b. closing costs c. escrow account d. trust account