A conventional loan that exceeds conforming loan limits but meets all other GSE underwriting standards would be considered:
Correct Answer
B) A jumbo loan that cannot be purchased by GSEs
Loans that exceed conforming loan limits are classified as jumbo loans, which are non-conforming and cannot be purchased by Fannie Mae or Freddie Mac, regardless of whether they meet other GSE underwriting standards.
Why This Is the Correct Answer
Loans that exceed conforming loan limits are classified as jumbo loans, which are non-conforming and cannot be purchased by Fannie Mae or Freddie Mac, regardless of whether they meet other GSE underwriting standards.
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