Under current GSE guidelines, what is the maximum loan-to-value ratio allowed for a cash-out refinance on a single-family primary residence with a conforming loan amount?
Correct Answer
C) 80%
GSE guidelines typically limit cash-out refinances on primary residences to 80% LTV for conforming loans, though this can vary based on credit score, debt-to-income ratio, and other compensating factors.
Why This Is the Correct Answer
GSE guidelines typically limit cash-out refinances on primary residences to 80% LTV for conforming loans, though this can vary based on credit score, debt-to-income ratio, and other compensating factors.
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