Finance
RESPA (Real Estate Settlement Procedures Act) applies to Michigan transactions involving:
AAll cash sales
BFederally related mortgage loans on residential properties✓ Correct
CCommercial property sales
DLand contracts only
Explanation
RESPA applies to transactions involving federally related mortgage loans on 1-4 family residential properties. It requires disclosure of settlement costs, prohibits kickbacks, and requires the Loan Estimate and Closing Disclosure forms.
Related Michigan Finance Questions
- A Michigan buyer borrows $280,000 at a 7% annual interest rate. What is the approximate monthly interest for the first payment?
- In Michigan, a 'hard money lender' for real estate typically:
- In Michigan, a 'balloon mortgage' is characterized by:
- Michigan is a 'lien theory' state, meaning:
- In Michigan, a home equity line of credit (HELOC) is best described as:
- Which type of Michigan mortgage loan is most common for borrowers with limited credit history who cannot afford a large down payment?
- In Michigan, 'mortgage acceleration' occurs when:
- Michigan's state real estate transfer tax rate is:
Practice More Michigan Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Michigan Quiz →