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1.
One advantage of having a home loan guaranteed by the Veterans Administration or Federal Housing Administration is that the down payment may be waived or reduced.
True. This is an advantage of these guarantees.
2.
What is the lifetime limit that you may borrow from an individual retirement account (IRA) for a down payment on your first home?
The lifetime limit is $10,000. Loans from an IRA must be used within 120 days of receiving it.
3.
One advantage of seller financing for a home is that the interest rate can be negotiated.
True. The interest rate as well as other features can be negotiated between the two parties.
4.
In order for you to handle a private mortgage as a bank would, what documents must be prepared?
A promissory note and a mortgage or "deed of trust". A repayment schedule is not required, but is certainly a good idea.
5.
First-time homebuyers need not worry about having a bad credit score in order to benefit from a first-time homebuyer program.
False. A common requirement is that you keep a good credit score. The purpose of this is to ensure that you are not too much of a risk to the lender.