MLO Test Practice Questions And Answers
- Included in the Loan Estimate, all of the following are part of the
finance charge except the:
(A) appraisal cost.(B) VA funding fee.(C) per diem interest.(D) origination charges - correct answer ✅A) appraisal cost.
- A buyer has made an earnest money payment of $5,000. The
buyer pays an additional $2,000 in option money to be credited at closing on a property with a sale price of $160,000. If the required down payment is 20%, how much additional money will the buyer need to provide toward the down payment at closing?
(A) $25,000
(B) $27,000
(C) $30,000
(D) $32,000 -
correct answer ✅(A) $25,000 $160,000 (sale price) x .20 (down payment percentage) = $32,000;
$32,000 - [$5,000
(earnest money) + $2,000 (option money)] = $25,000 1 / 2
MLO Test Practice Questions And Answers
- If an applicant works 40 hours every week and is paid $13.52 per
hour, what is the applicant's monthly income?
(A) $2,163.20
(B) $2,343.47
(C) $2,379.52
(D) $2,487.68 -
correct answer ✅(B) $2,343.47 40 hours per week x $13.52 per hour = $540.80 (weekly income); $540.80 x 52 weeks per year = $28,121.60 (yearly income); $28,121.60 / 12 months = $2343.47 (monthly income)
- The requirement for private mortgage insurance (PMI) is
generally discontinued when the loan-to-value ratio falls below:
(A) 20%.
(B) 50%.
(C) 80%.
(D) 90%. -
correct answer ✅(C) 80%.
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