Finance
A Mississippi lender's 'underwriting guidelines' for conventional loans typically set maximum limits on which of the following ratios?
ACommission rates and closing costs
BDebt-to-income (DTI) and loan-to-value (LTV) ratios✓ Correct
CCap rates and gross rent multipliers
DAbsorption rates and vacancy rates
Explanation
Conventional loan underwriting guidelines establish maximum DTI ratios (to ensure affordability) and maximum LTV ratios (to limit lender risk exposure). These are the primary underwriting parameters for qualifying borrowers.
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