Mortgage Broker Licensing Practice Exam · Question
Emily, a self-employed borrower, is applying for a mortgage on a $600,000 home in Calgary. She has $150,000 for a down payment. What is the Loan-to-Value (LTV) ratio for this transaction?
The LTV ratio is calculated as the Mortgage Amount / Property Value. With a property value of $600,000 and a down payment of $150,000, the mortgage amount is $4
Start free practice for Mortgage Broker Licensing Practice Exam
302 questions · no signup required · 40 free questions per day
Question: Emily, a self-employed borrower, is applying for a mortgage on a $600,000 home in Calgary. She has $150,000 for a down payment. What is the Loan-to-Value (LTV) ratio for this transaction?
Answer options:
- 70% ✅ 75%
- 80%
- 85%
Correct answer: 75%
Explanation: The LTV ratio is calculated as the Mortgage Amount / Property Value. With a property value of $600,000 and a down payment of $150,000, the mortgage amount is $450,000. Therefore, $450,000 / $600,000 = 0.75, or 75%.
Start free practice for Mortgage Broker Licensing Practice Exam
302 questions · no signup required · 40 free questions per day
More about Mortgage Broker Licensing Practice Exam
Related Questions
- What is the typical time frame for a mortgage agent to provide the required disclosure statement to a client?
- Funds received from a client or investor that the brokerage holds on their behalf must be deposited into:
- Ontario mortgage agents must complete which of the following at each licence renewal?
- Which entity is responsible for licensing and regulating mortgage brokers and agents in Ontario?
- What is a 'material change' in relation to a client's mortgage application?
- Ethical behavior for a mortgage broker includes:
More for Mortgage Broker Licensing Practice Exam candidates
Question explanations
- What is the typical time frame for a mortgage agent to provide the required disclosure statement to a client?
- Funds received from a client or investor that the brokerage holds on their behalf must be deposited into:
- Ontario mortgage agents must complete which of the following at each licence renewal?
- Which entity is responsible for licensing and regulating mortgage brokers and agents in Ontario?
Ready to practice?
Free, no signup required. Build a wrong-question list as you go.
Start Free Mortgage Broker Licensing Practice Exam Practice →Related courses
Other Canadian certifications candidates often prepare for alongside this one.