Choose wisely. There is only one correct answer to each question.
0%
Keep studying!
Review your answers below to learn more.
1.
Federal programs for homeowners facing foreclosure are available to all homeowners, regardless of their situation.
False. There are many requirements that homeowners must meet, some of them quite demanding.
2.
When negotiating with a lender, what option or options might you suggest?
Loan modifications and loan reinstatement are options in negotiating with your lender. Lenders would rather negotiate with you than foreclose on your home, and would consider several repayment options.
3.
When faced with possible foreclosure, what is the best way to handle negotiating with your lender?
You should contact your lender as soon as you realize you'll have a problem, ideally before you miss a payment. Sooner is better than later because if you wait too long, the lender might insist on foreclosure.
4.
In mortgage talk, a "short sale" means that a homeowner sells the house to avoid foreclosure, and the lender agrees to accept the sale proceeds even if they're less than the loan amount.
True. Unfortunately, lenders may be reluctant to agree to a short sale.
5.
Forbearance is the negotiated agreement for you to make reduced payments, or no payments, on your mortgage for an agreed-upon period of time.
True. A lender would usually require that you make up the difference at a later time. If you are expecting a bonus or other extra cash, this might be an option for you.