Finance (alternative)
A Maryland buyer qualifies for an FHA loan with 3.5% down. On a $320,000 purchase, the upfront MIP premium is 1.75% of the loan amount. The upfront MIP is:
A$5,390.50✓ Correct
B$5,600
C$5,390
D$5,500
Explanation
FHA loan = $320,000 × 96.5% = $308,800.
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