Arizona's 'one-action rule' in mortgage enforcement means a lender:
Why Must choose between foreclosing on the collateral OR suing on the note—generally cannot do both in a single action Is Correct
Answer B: Must choose between foreclosing on the collateral OR suing on the note—generally cannot do both in a single action
Exam Tip: Finance
Finance questions often involve calculations. Master the T-bar method, understand the difference between conventional and government-backed loans, and know key ratios like LTV and DTI.
Key Finance Terms in This Question
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Key Terms to Know
A written promise to repay a loan under specified terms — the borrower's personal financial obligation in a real estate transaction.
Private Mortgage Insurance (PMI)Insurance required by lenders on conventional loans with less than 20% down payment, protecting the lender — not the borrower — against default.
Loan-to-Value Ratio (LTV)The ratio of a mortgage loan amount to the appraised value or purchase price of a property, expressed as a percentage.
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Math Concepts
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