The Federal Housing Administration (FHA) insures loans made by private lenders that meet FHA's property and credit-risk standards. Which of the following statements concerning FHA insurance is true?
A) The insurance is paid by the lender and protects the lender against loss due to borrower default.
B) The insurance is paid by the borrower and protects the lender against loss due to borrower default.
C) The insurance is paid by the lender and protects the borrower against loss due to lender default.
D) The insurance is paid by the borrower and protects the borrower against loss due to lender default.
Correct Answer:
Verified
Q1: In contrast to conventional home loans, the
Q2: Mortgage insurance rates vary with the perceived
Q3: The hybrid ARM attempts to balance the
Q5: With the arrival of subprime mortgages in
Q6: Since mortgages typically have multiple costs associated
Q7: It would be hard to overstate the
Q8: Many older, retired households are considered "house
Q9: Which of the following types of institutions
Q10: In recent years, home equity loans have
Q11: Mortgage loans made to borrowers with normal
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents