Lender/Appraiser

Question 1

Straight-line Cost Recovery

Answer 1

Depreciation expenses are deducted from property income

Question 2

Disintermediation

Answer 2

Process for money flowing out of banks

Question 3

Correlation

Answer 3

Appraiser weighs relevance of approaches to determine final value estimate

Question 4

Bracketing

Answer 4

Appraiser compares homes for a range of values

Question 5

Binder

Answer 5

Preliminary agreement for sale secured by valuable deposit from buyer; letter of intent

Question 6

Assumption

Answer 6

Transferring obligation of mortgagor to another party to take over responsibility to pay the note

Question 7

Deed in Lieu of Foreclosure

Answer 7

Alternative to foreclosure; borrower voluntarily transfers to lender

Question 8

Defeasance

Answer 8

Clause security document, loan satisfied

Question 9

Purchase Money Mortgage

Answer 9

Given by purchaser to a seller who “takes back” a note for part of all of the purchase price

Question 10

Usury

Answer 10

Illegal lending money at unfair interest rates

Question 11

Redlining

Answer 11

Illegal act of lender refusing to issue mortgage to certain areas