Finance (alternative)
In Maryland, 'correspondent lending' refers to:
AOut-of-state lenders servicing Maryland loans
BMortgage bankers who originate and close loans in their own name, then sell them to investors or larger lenders✓ Correct
CDirect lending from state agencies
DLoans made between related parties
Explanation
Correspondent lenders originate and close loans in their own name using their own (or warehouse) funds, then sell the loans to larger institutions or investors in the secondary market.
People Also Study
Related Maryland Questions
- Under the Community Reinvestment Act (CRA), Maryland banks and savings institutions are evaluated on their:Finance
- In Maryland, the primary secondary market for residential mortgages includes:Finance
- A Maryland buyer who cannot sell their existing home before closing on a new home could include a:Contracts
- In Maryland, if a seller wants to sell their property 'as-is' and the agent knows of a material defect, the agent must:Agency
- A Maryland broker who operates in a name other than their registered brokerage name must:Maryland License Law (alternative)
- In Maryland, the 'secondary mortgage market' functions primarily to:Finance (alternative)
- A Maryland tenant in common who wants to sell their undivided interest may:Property Ownership (alternative)
- Under the Home Mortgage Disclosure Act (HMDA), Maryland lenders must report mortgage lending data to:Finance (alternative)
Key Terms to Know
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.
Deed of TrustA security instrument used in many states instead of a mortgage, involving three parties: borrower (trustor), lender (beneficiary), and a neutral trustee.
Listing AgreementA contract between a property owner and a real estate broker that authorizes the broker to market and sell the property.
AmortizationThe gradual repayment of a loan through scheduled periodic payments that cover both principal and interest.
Study This Topic
Practice More Maryland Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Maryland Quiz →