Finance
In Washington, a buyer obtains a 'jumbo' mortgage. A jumbo loan is one that:
AIs guaranteed by Fannie Mae or Freddie Mac
BExceeds the conforming loan limit set by the FHFA for the specific area✓ Correct
CHas a down payment exceeding 30%
DIs only available for commercial properties
Explanation
A jumbo (non-conforming) mortgage exceeds the conforming loan limits established by the FHFA for the specific geographic area. Jumbo loans typically require higher credit scores, larger down payments, and carry higher interest rates.
Related Washington Finance Questions
- In Washington, the Federal Home Loan Bank of Seattle (now FHLB Des Moines) serves Washington member banks by:
- An adjustable-rate mortgage (ARM) differs from a fixed-rate mortgage in that:
- A Washington seller agrees to pay two discount points to buy down a buyer's interest rate. If the loan amount is $380,000, what is the cost of the points?
- A Washington mortgage servicer who receives a monthly payment applies it in which order?
- In Washington, a 'teaser rate' on an ARM is the initial low interest rate that:
- In Washington, home equity lines of credit (HELOCs) are secured by:
- Washington borrowers using a USDA guaranteed loan benefit from:
- In Washington real estate, a 'participation mortgage' is one where:
Practice More Washington Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Washington Quiz →