5.1

Question 0

The two mortgagor documents are _____ and ______.

Answer 0

Mortgage and a promissory note

Question 1

In a foreclosure process, the deed is transferred at the end of the ______.

Answer 1

Statutory redemption period

Question 2

The document that states a mortgage lien is released after full payment of the loan is the ______.

Answer 2

Satisfaction of mortgage

Question 3

_______ is the clause that allows a lender to foreclose without going to court.

Answer 3

Power of sale

Question 4

The mortgage borrower is the _______.

Answer 4

Mortgagor

Question 5

The mortgage lender is the _______.

Answer 5

Mortgagee

Question 6

A mortgage becomes a lien after it is _______.

Answer 6

Recorded

Question 7

The ______ is the period of time between default and foreclosure that allows the mortgagor to get caught up on payments and avoid foreclosure.

Answer 7

Equitable redemption period

Question 8

The ______ is the period of time between default and foreclosure that allows the mortgagor to get caught up on payments and avoid foreclosure.

Answer 8

Equitable redemption period

Question 9

The _____ is the period of time that allows the mortgagor to redeem the mortgage even after foreclosure sale by paying the entire balance of the loan.

Answer 9

Statutory Redemption Period

Question 10

Minnesota, the statutory redemption period is _______ months.

Answer 10

6

Question 11

When a loan is paid in full, the homeowner should obtain a document from the lender known as the _______.

Answer 11

Satisfaction of mortgage

Question 12

The _______ is the public auction where the highest bidder gets a certificate that states he/she will receive title after the Statutory Redemption Period expires.

Answer 12

Sheriff’s sale

Question 13

When property is financed with a mortgage loan, the owner-borrower gives the lender a _______ as collateral.

Answer 13

Mortgage

Question 14

After the mortgage is recorded, it becomes a ______.

Answer 14

Lien

Question 15

If the borrower stops making payments on the loan, the lender can ______ on the property.

Answer 15

Foreclose

Question 16

With a mortgage loan, the ______ is promise to make timely payments according to a schedule.

Answer 16

Promissory note

Question 17

The equitable redemption period is the time between default and foreclosure that allows the mortgagor to get caught up on payments and avoid _______.

Answer 17

Foreclosure

Question 18

The statutory redemption period is the period that allows the mortgagor to redeem the mortgage even after foreclosure sale by paying the entire ______ of the loan.

Answer 18

Balance

Question 19

It is known as a _______ when the mortgagor (homeowner) falls behind on the payments.

Answer 19

Default

Question 20

A _____ is a contract detailing the terms of a promise by one party (the maker ) to pay a sum of money to the other party (the payee).

Answer 20

Promissory note

Question 21

A/an _______ loan is a type of payment plan in which the payments are the same for each period (i.e.: monthly) for a specified number of months or years.

Answer 21

Amortized

Question 22

With a/an ______ loan, part of each payment goes toward interest, and the rest goes toward principal reduction.

Answer 22

Amortized

Question 23

When the borrower makes the last installment payment, and there is a remaining principal, the final large payment is called a ______.

Answer 23

Balloon payment

Question 24

_____ is a loan with which regular payments are made, but the principal remains the same.

Answer 24

Interest-only

Question 25

When you pay ______ you pay interest in a lump sum upfront to get a lower rate on your fixed rate morgage.

Answer 25

Points

Question 26

Each point costs ______% of the mortgage amount.

Answer 26

1%

Question 27

The ______ clause makes the entire balance of the loan due and payable even though it has not fully amortized if specified conditions exist.

Answer 27

Acceleration