Finance
A Georgia FHA loan has an upfront mortgage insurance premium (UFMIP) of 1.75% of the loan amount. On a $250,000 loan, the UFMIP is:
A$2,500
B$4,375✓ Correct
C$5,000
D$3,500
Explanation
UFMIP = 1.75% × $250,000 = $4,375. To solve this, multiply the relevant values: $250,000 at 1.75%.. The correct answer is $4,375.. This is a common calculation on the Georgia real estate exam.
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