FinanceIntermediateDelaware Exam
What is a 'jumbo loan' in Delaware mortgage financing?
AAny loan over $100,000
BA loan that exceeds the conforming loan limits set by Fannie Mae/Freddie MacCorrect
CA loan with a term longer than 30 years
DAn FHA loan for a multi-family property
Why A loan that exceeds the conforming loan limits set by Fannie Mae/Freddie Mac Is Correct
Answer B: A loan that exceeds the conforming loan limits set by Fannie Mae/Freddie Mac
A jumbo loan is a mortgage that exceeds the conforming loan limits set by the Federal Housing Finance Agency (FHFA). Because it cannot be purchased by Fannie Mae or Freddie Mac, it typically carries higher interest rates.
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.
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