Finance
A West Virginia homeowner wants to access their home equity for renovations without refinancing. The most appropriate product is a:
ASecond mortgage with fixed rate
BHome equity line of credit (HELOC)✓ Correct
CReverse mortgage
DConstruction loan
Explanation
A Home Equity Line of Credit (HELOC) allows homeowners to borrow against their equity as needed up to a credit limit, with interest accruing only on the amount drawn. It is flexible and avoids the cost of refinancing an existing first mortgage.
Related West Virginia Finance Questions
- A West Virginia homebuyer is told their monthly PITI payment is $1,450. This stands for:
- Under the federal Truth in Lending Act (TILA), the Annual Percentage Rate (APR) disclosed to a West Virginia borrower:
- A West Virginia buyer is comparing a 15-year mortgage vs. a 30-year mortgage at the same interest rate. The 15-year mortgage will have:
- A West Virginia lender who sells its originated mortgages to Fannie Mae is participating in:
- The loan-to-value ratio (LTV) is calculated as:
- The debt-to-income ratio (DTI) used by lenders to qualify West Virginia mortgage borrowers is calculated as:
- Under Regulation Z (Truth in Lending), a West Virginia lender must provide a borrower with the Loan Estimate within:
- A West Virginia borrower who is self-employed applying for a mortgage must typically provide:
Practice More West Virginia Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free West Virginia Quiz →