Oklahoma Finance
Practice Questions & Answers (2026)
Finance questions on the Oklahoma real estate exam cover mortgage types, loan-to-value ratios, qualifying ratios, and federal lending laws. The Oklahoma Real Estate Commission (OREC) tests both the mechanics of real estate financing and the regulatory framework — particularly RESPA, TILA (Truth in Lending), and the TRID rules that govern loan disclosures. Oklahoma candidates often lose points on financing questions because they understand the concept but miss the specific numerical thresholds or disclosure timing requirements that appear on the OK exam. Pay particular attention to ARM vs. fixed-rate mortgage distinctions, the calculation of LTV ratios, and what information must appear in specific disclosure documents.
Oklahoma Exam Study Resources
Everything you need to pass — in one place.
Oklahoma Finance — Practice Questions & Answers
147 questions on Finance from the Oklahoma real estate question bank. First 10 are free — sign up to unlock all 147.
Q1. Which federal law requires lenders to provide borrowers with a Loan Estimate within 3 business days of receiving a loan application?
Explanation
TRID (the TILA-RESPA Integrated Disclosure rule) requires lenders to provide a Loan Estimate within 3 business days of receiving a completed loan application, giving borrowers clear information about loan terms and costs.
Q2. A buyer obtains an FHA-insured loan. Which of the following is a key feature of FHA loans?
Explanation
FHA loans require Mortgage Insurance Premium (MIP) on all loans regardless of down payment amount. This insurance protects the lender against default. FHA loans are not limited to first-time buyers and are issued by approved private lenders, not the government.
Q3. The loan-to-value (LTV) ratio is calculated as:
Explanation
The LTV ratio is the loan amount divided by the lesser of the purchase price or appraised value, expressed as a percentage. A higher LTV indicates less equity and typically requires private mortgage insurance (PMI).
Q4. A conventional loan that exceeds the conforming loan limit set by the FHFA is known as a:
Explanation
A jumbo loan is a mortgage that exceeds the conforming loan limits established by the Federal Housing Finance Agency (FHFA). Because these loans cannot be purchased by Fannie Mae or Freddie Mac, they typically carry higher interest rates.
Q5. Which of the following best describes a buyer's debt-to-income (DTI) ratio?
Explanation
The DTI ratio compares total monthly debt payments (including the proposed mortgage) to gross monthly income. Most conventional loans require a DTI of 43% or lower, though some loan programs allow higher ratios.
Q6. A VA-guaranteed home loan requires the borrower to pay:
Explanation
VA loans do not require a down payment or monthly mortgage insurance. However, most borrowers must pay a one-time VA funding fee, which varies based on service type, down payment, and whether it is a first use. The funding fee can be financed.
Q7. The Truth in Lending Act (TILA) requires lenders to disclose the Annual Percentage Rate (APR), which reflects:
Explanation
TILA requires disclosure of the APR, which is a broader measure of the cost of borrowing that includes the interest rate plus fees, points, and other charges. The APR is always higher than or equal to the note rate.
Q8. Which type of mortgage features a fixed interest rate for an initial period, then adjusts periodically based on an index?
Explanation
An adjustable-rate mortgage (ARM) typically features a fixed interest rate for an initial period (e.g., 5 years), then adjusts periodically based on a market index such as SOFR. ARMs often have caps limiting how much the rate can change per adjustment and over the life of the loan.
Q9. The Federal Housing Administration (FHA) does which of the following?
Explanation
The FHA does not lend money directly; it insures lenders against loss if a borrower defaults on an FHA-approved loan. This insurance allows lenders to offer loans with lower down payments and more flexible credit requirements.
Q10. Private Mortgage Insurance (PMI) is typically required on conventional loans when the borrower's down payment is:
Explanation
PMI is generally required on conventional loans when the borrower's down payment is less than 20% (LTV greater than 80%). PMI protects the lender if the borrower defaults. Under the Homeowners Protection Act, PMI must be cancelled when LTV reaches 80%.
Q11. In Oklahoma, oil and gas production on a mortgaged property may affect the loan because:
137 more Finance questions
Create a free account to unlock all 147 Oklahoma Finance questions with full explanations.
Free account · No credit card · Instant access to 25 questions
Ready to take the full exam? Start free.
25 free questions · No signup · Instant access to all Oklahoma topics