Finance
A Texas FHA loan requires the property to meet minimum property standards (MPS). If an appraiser notes that the roof has less than two years of remaining life, the lender will likely require:
AThe buyer to accept the property as-is
BThe seller to repair or replace the roof before the loan can close✓ Correct
CThe buyer to set aside an escrow for future roof replacement
DTREC to approve the property condition
Explanation
FHA minimum property standards require the property to be safe, sound, and secure. If an appraiser identifies a condition like a failing roof that does not meet MPS, FHA will typically require the condition to be repaired before the loan can close.
Related Texas Finance Questions
- A Texas borrower who received a Predatory Lending TILA violation (like inadequate disclosure) may have the right to rescind the loan for up to:
- The Texas Veterans Land Board (VLB) provides home loan programs for qualifying Texas veterans. The VLB is unique in that it:
- Under a Texas deed of trust, foreclosure is typically handled as a:
- A Texas lender offers a 5/1 ARM with a 2/2/5 cap structure. This means the rate can increase by how much at the first adjustment?
- Under the Texas Home Equity law, a homeowner may borrow against their home equity provided the total debt against the homestead does not exceed:
- A Texas borrower receives a Loan Estimate (LE) within 3 business days of applying for a mortgage. The LE must include:
- A Texas adjustable-rate mortgage (ARM) with a 2/6 cap means:
- Texas is a community property state. This means that property acquired during marriage:
Practice More Texas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Texas Quiz →