Finance
A VA loan guaranty benefit allows eligible veterans to:
APurchase homes at below-market interest rates set by the VA
BObtain financing with no down payment and no PMI✓ Correct
CBorrow up to twice the conforming loan limit
DRefinance any mortgage into a VA loan regardless of eligibility
Explanation
Eligible veterans can use the VA loan guaranty to purchase a primary residence with no down payment and without private mortgage insurance (PMI). The VA guarantees a portion of the loan, reducing lender risk.
Related Tennessee Finance Questions
- Negative amortization occurs when:
- The concept of leverage in real estate investing means:
- The 'ability-to-repay' rule under Dodd-Frank requires lenders to:
- In Tennessee, a 'conforming loan' is one that:
- The Community Reinvestment Act (CRA) requires federally insured banks to:
- In Tennessee, a deed of trust that is not paid off at closing must be:
- The Tennessee Department of Financial Institutions (TDFI) regulates:
- An adjustable-rate mortgage (ARM) includes a 'cap' provision that:
Practice More Tennessee Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Tennessee Quiz →