Mortgage Loans Origination Activities Flashcards
Disclosures to the borrower
ALIENS: A-address for subject property L-loan amount I-income of borrower E-estimate of value for subject property N-name of borrower S-SSN of borrower
FNMA Form 1003
Uniform Residential Loan Application (URLA) also referred to the 1003. Standardized government/industry form
Fee Simple Estate
Property and house are owned. Owner has unconditional power of disposition (ability to sell the property) during his life and transfers to heirs if they die. Most common
Leasehold
“Ground Rent”: land upon which the house is built is not owned, subject to a long term lease. May or may not pass to heirs if they die, lease must be longer than the mortgage
Life Estate
Borrower only owns the property while he is alive. When death occurs reverts back to the original Grantor (person who transferred title to borrower)
Estate
How is the property owned