Larson Unit 8

  1. the federal department that oversees the secondary mortgage market, FHA, VA and fair housing laws
  2. The government organization that provides mortgage default insurance on loans from approved lenders to qualified borrowers
  3. The clause in both FHA and VA loans that allows the applicant to cancel the agreement if the loan cannot be obtained
    escape clause
  4. the organization that guarantees loans up to 100% LTV to qualified veterans
  5. The market where mortgages are purchased from primary lenders to supplement the mortgage and lending process
    secondary mortgage market
  6. an agency of the government within HUD that buys FHA and VA mortgages
    Ginnie Mae
  7. the process of loan correspondents collecting payments, disbursing taxes and insurance and keeping records on behalf of the mortgage holder
  8. the law that requires disclosures of loan terms and costs, including APR
    Regulation Z
  9. the law that created standardized closing practices on federally related residential loans
    • RESPA
    • (RE Settlement Procedures Act)
  10. the closing statement required by the Real Estate Settlement Procedure Act
  11. a formal estimate or opinion of value supported by an analysis of relevant property data
  12. an informal estimate of market value performed by a real estate licensee to assist in arriving at an appropriate price
    CMA (comparative market analysis)
  13. the highest price in terms of cash or its equivalent that a willing buyer would pay and a willing seller would accept
    market value
  14. a uniform measure of the cost of credit that includes interest and finance charges
    APR (Annual percentage rate)
  15. the approach to value in which similar properties that have recently sold are compared to the subject property
    sales comparison approach
  16. the most important method for appraising unique or special-purpose properties
    cost approach
  17. the cost to build a replica with the same or highly similar materials
    reproduction cost
  18. the method of estimating reproduction cost through information contained in a published cost manual
    comparative square ft
  19. the cost to replace improvements with others of similar quality but that are not an exact replica
    replacement cost
  20. a loss in value due to wear and tear
    physical deterioration
  21. reduction in value based upon factors related to the propertys location
    external obsolescence
  22. a lead lender organizes multiple lenders to join in a large loan
  23. a lender uses a short-term loan from a commercial bank to fund its loan commitments
Card Set
Larson Unit 8
Government programs and appraisal