CRMP Property Requirements and Appraisal Standards Questions and Answers Flashcards
6 cards from real CRMP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 CRMP Property Requirements and Appraisal Standards Questions and Answers flashcards as text
What is the maximum number of units allowed in a property that is eligible for a HECM?
Answer: Up to 4 units, with borrower occupying one unit
HECM allows up to 4-unit properties as long as the borrower occupies one of the units as their principal residence.
Can a HECM be placed on a property located on a Native American tribal trust land?
Answer: Yes, with a Section 184A loan guarantee under specific conditions
HECM Section 184A allows reverse mortgages on Native American tribal trust land under a special HUD program with specific conditions.
Which of the following is NOT an FHA Minimum Property Standard that must be met for HECM eligibility?
Answer: The property must have a garage
A garage is not an FHA Minimum Property Standard requirement; properties must be safe, structurally sound, and have functioning utilities.
What must occur before a condominium unit can serve as collateral for a HECM loan?
Answer: The condo project must be on the FHA-approved condominium list
The condominium project must be on HUD's FHA-approved condominium list, or undergo spot approval, before a HECM can be issued on any unit.
Under HUD guidelines, who is responsible for selecting the HECM appraiser?
Answer: The lender orders the appraisal through an approved FHA roster appraiser
The lender must order the appraisal from an appraiser on the FHA Appraiser Roster, in compliance with appraiser independence requirements.
How long is an FHA appraisal valid for a HECM loan application?
Answer: 120 days, with a possible 30-day extension
FHA appraisals for HECM are valid for 120 days from the effective date of the appraisal, with a possible 30-day extension if loan closing is imminent.