A Delaware property is appraised at $310,000. The lender will loan 80% of appraised value. What is the maximum loan amount?
Why $248,000 Is Correct
Answer B: $248,000
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.
People Also Study
Related Delaware Questions
- A Delaware home's appraised value is $385,000. The buyer puts 20% down and finances the rest at 30 years, 5.5%. What is the loan amount?Real Estate Math
- Regression analysis in real estate appraisal refers to:Property Valuation
- Paired sales analysis is used in appraisal to:Property Valuation
- A Delaware property's appraised value is $460,000. The owner wants to take out a HELOC at 80% LTV. The existing mortgage is $295,000. What is the maximum HELOC line?Real Estate Math
- A Delaware buyer puts 5% down on a $320,000 home. The lender requires PMI at an annual rate of 0.85% of the original loan amount. What is the annual PMI premium?Real Estate Math
- At a Delaware closing, the attorney's role includes:Escrow & Title
- Plottage value results from:Property Valuation
- In the income approach, before applying the cap rate, the appraiser must estimate:Property Valuation
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.
Debt-to-Income Ratio (DTI)A lender's measure of a borrower's monthly debt obligations relative to their gross monthly income, used to evaluate loan eligibility.
Discount PointsPrepaid interest paid to a lender at closing to reduce the mortgage interest rate, with each point equal to 1% of the loan amount.
Pre-ApprovalA lender's conditional commitment to loan a specific amount to a borrower, based on verified income, credit, and assets.
Study This Topic
Practice More Delaware Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Delaware Quiz →