Question

Which of the following would a lender generally NOT require to be produced at or before the closing?

a) Proof of homeowner's insurance
b) Employment verification
c) Property survey
d) High school diploma

Answer 1

A lender generally does not require a high school diploma at or before the closing of a property loan. Instead, they require proof of homeowner's insurance, employment verification, and a property survey.

Step-by-step explanation:

A lender generally would not require a high school diploma to be produced at or before the closing. Typically, for the process of obtaining a loan for a property, the lender would require the following documents:

• Proof of homeowner's insurance: to ensure that their investment is protected in case of damage to the property.
• Employment verification: to assess the borrower's ability to repay the loan based on their income.
• Property survey: to confirm the boundaries of the property and ensure that there are no encroachments that could cause legal issues in the future.

The requirements above help manage the lender's risk and provide assurance based on factual information. They do not require a high school diploma because it does not directly relate to the financial transaction or the borrower's ability to repay the loan.