The National Flood Insurance Program (NFIP) in Arizona requires flood insurance for properties:
Why Located in Special Flood Hazard Areas (100-year floodplain) with federally backed mortgages Is Correct
Answer B: Located in Special Flood Hazard Areas (100-year floodplain) with federally backed mortgages
Exam Tip: Environmental
Environmental questions test knowledge of hazards like asbestos, lead-based paint, radon, and mold. Know the disclosure requirements and when a professional inspection is required. CERCLA liability is strict, joint, and several.
People Also Study
Related Arizona Questions
- Under Arizona law, a property located within a Special Flood Hazard Area (SFHA) requires:Environmental
- A property located in an Arizona '100-year floodplain' (Zone AE on FEMA maps) faces which additional costs compared to a non-flood zone property?Environmental
- In Arizona, the 'Assured Water Supply' (AWS) program administered by ADWR requires that developers in Active Management Areas demonstrate:Environmental
- The Arizona Association of REALTORS® Residential Resale Purchase Contract requires agency disclosure:Agency
- The Arizona Residential Resale Purchase Contract requires sellers to provide the Seller's Property Disclosure Statement (SPDS) within:Contracts
- When a lender requires a borrower to pay private mortgage insurance (PMI), it is typically because the borrower's loan-to-value (LTV) ratio is:Finance
- An Arizona buyer assumes the seller's existing mortgage. The buyer's lender requires a 'due-on-sale' clause to be enforced. This means:Finance
- A buyer assumes an existing $200,000 mortgage on an Arizona property. The purchase price is $290,000. The buyer pays the difference in cash. What is the buyer's cash requirement at closing (excluding all other closing costs)?Finance
Key Terms to Know
The ratio of a mortgage loan amount to the appraised value or purchase price of a property, expressed as a percentage.
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.
Title InsuranceInsurance protecting against financial loss from defects in a property's title that existed before closing but were unknown at the time of purchase.
ZoningLocal government regulations that control land use by dividing areas into zones specifying permitted uses, building sizes, and densities.
Study This Topic
Practice More Arizona Real Estate Questions
1,400+ questions covering all exam topics. Start free — no signup required.
Take the Free Arizona Quiz →