A Texas reverse mortgage borrower has a homestead valued at $300,000 with no existing liens. Under the 80% LTV rule, the lender offers a reverse mortgage equal to 50% of the maximum allowed. How much will the borrower receive?
Correct Answer
D) $120,000
Maximum = $300,000 × 0.80 = $240,000. Offered = $240,000 × 0.50 = $120,000.
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A VA loan is a mortgage guaranteed by the Department of Veterans Affairs available to eligible veterans, active-duty service members, and surviving spouses. It offers no down payment and no private mortgage insurance requirements.
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A Texas homestead valued at $800,000 has a first mortgage of $480,000. The homeowner takes the maximum home equity loan. The lender charges the maximum 3% fee. What is the total fee amount?
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A Texas homestead valued at $550,000 has a first mortgage of $310,000 and a home improvement loan of $20,000. The homeowner takes the maximum home equity loan and the lender charges the maximum 3% fee. What is the total of the fee plus 6 months of interest at 6% annual?