Question

In a reverse mortgage transaction, the loan-to-value ratio may not exceed:

A.O 75%
B.O 60%
C.O 50%
D.O 80%

Answer 1

In a reverse mortgage transaction, the loan-to-value ratio may not exceed 50%.

Step-by-step explanation:

In a reverse mortgage transaction, the loan-to-value ratio may not exceed 50%. This means that the loan amount cannot exceed 50% of the appraised value of the property. For example, if a property is appraised at $200,000, the maximum loan amount would be $100,000.

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