Question

match the terms to their definition. 1 . a government-backed loan for veterans arm 2 . a loan used to buy a home balloon mortgage 3 . adjustable rate mortgage; a mortgage that has a fixed rate for a certain amount of time and then has a variable rate that changes periodically escrow 4 . a short-term mortgage in which small payments are made until the completion of the term, at which time the entire balance is due fha loan 5 . an account with a financial institution used to pay taxes and insurance mortgage 6 . private mortgage insurance; insurance you must pay on most loans when you make a down payment of less than 20 percent pmi 7 . a government-backed loan, which makes it easier for some people to qualify va loan

Answer 1

1. A government-backed loan for veterans - VA loan

2. A loan used to buy a home - Mortgage

3. Adjustable rate mortgage; a mortgage that has a fixed rate for a certain amount of time and then has a variable rate that changes periodically - ARM

4. A short-term mortgage in which small payments are made until the completion of the term, at which time the entire balance is due - Balloon mortgage

5. An account with a financial institution used to pay taxes and insurance - Escrow

6. Private mortgage insurance; insurance you must pay on most loans when you make a down payment of less than 20 percent - PMI

7. A government-backed loan, which makes it easier for some people to qualify - FHA loan