DC MLO case studies
DC MLO · Put your knowledge to work in context.
The DC MLO credential is the District of Columbia mortgage loan originator license, issued by the Department of Insurance, Securities and Banking (DISB). It is required for individuals who take residential mortgage loan applications, offer or negotiate loan terms, or hold themselves out as able to do so for properties in the District. To qualify, candidates must complete NMLS-approved pre-licensure education, pass the national SAFE test component with its Uniform State Content, pass the DC-specific test component, submit fingerprints for a criminal background check, authorize a credit report, and file the application through NMLS. The exam tests five areas: federal mortgage-related laws and regulations; general mortgage knowledge; loan origination activities; ethics; and District of Columbia-specific law. The DC MLO case studies are 5 cases and about 4,266 words.
1The $300 Appraisal Increase and a Monday Closing
You originate for a brokerage in the District. A first-time buyer has a ratified contract on a legal two-unit property financed FHA: 420,000 price, 3.5% down, consummation set for Monday, March 17.
825 words, about 4 min2Qualifying the 5/1 ARM She Was Quoted
Your borrower is a 52-year-old project manager with a 114,000 base salary. She received a documented 12,000 bonus in each of the last two years, and her employer states in writing that bonuses are likely to continue.
804 words, about 4 min3The $22,000 "Loan From a Friend"
A borrower is under contract on a 385,000 townhouse using an FHA loan with 3.5% down. He needs about 28,000 at closing: 13,475 minimum investment plus roughly 14,500 in closing costs.
853 words, about 4 min4The Manager's Script and the Investor Premium
You originate for a brokerage licensed in the District. A 71-year-old widow wants to refinance her condo to consolidate 40,000 in credit card debt.
860 words, about 4 min5The $6,500 Price Bump for a Bigger Seller Credit
You take an application from a first-time buyer under contract on a Ward 7 condo at 398,500. She is using a 30-year FHA loan with 3.5% down plus a District down payment assistance second lien.
924 words, about 5 min