Finance
A Washington property has a first mortgage of $280,000 and a second mortgage of $60,000. The lender forecloses on the first mortgage and the property sells for $310,000 at the trustee's sale. How much does the second mortgage lender receive?
A$60,000
B$30,000✓ Correct
C$0
D$15,000
Explanation
The first mortgage lender receives $280,000 (their balance). The remaining $30,000 ($310,000 – $280,000) goes to the second mortgage lender, who loses the remaining $30,000 of their $60,000 balance.
Related Washington Finance Questions
- A Washington lender offers a '5/1 ARM' loan. This means the interest rate:
- In Washington, a 'portfolio loan' is one that a lender:
- Under Washington law, a hard money lender who charges excessive fees and interest rates on a mortgage loan to a consumer may face liability under:
- The Equal Credit Opportunity Act (ECOA) prohibits lenders from discriminating in credit decisions based on all of the following EXCEPT:
- A Washington borrower has a conventional loan with a loan-to-value ratio of 82%. The lender will require:
- A Washington homeowner has a $400,000 home with a $240,000 first mortgage. They take out a home equity line of credit (HELOC) for $80,000. What is the combined LTV (CLTV)?
- A Washington homebuyer uses down payment assistance from the Washington State Housing Finance Commission (WSHFC). This assistance is typically structured as:
- Washington's Deeds of Trust Act includes a provision that restricts lenders from pursuing borrowers after non-judicial foreclosure. This is called the:
Practice More Washington Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Washington Quiz →