NY MLO case studies
NY MLO · Put your knowledge to work in context.
The NMLS Mortgage Loan Originator (MLO) License Examination is the national test that individuals must pass, alongside a criminal background check, credit report, and state licensing requirements, before they can originate residential mortgage loans. In New York, candidates take the national test with uniform state content and must also satisfy New York's own licensing requirements through the Department of Financial Services. The NY MLO case studies are 5 cases and about 3,969 words.
1The Tied Rate Discount and the Reissued Loan Estimate
On Monday, March 3, Priya, an originator at a federally registered mortgage banker in Buffalo, takes a purchase application for an FHA loan of 318,000 on a 330,000 house. With the application she hands the borrowers a Loan Estimate and a brochure for the lender's affiliated title agency, telling them that using the affiliate 'protects the 0.250% rate discount' and that files sent to outside title companies 'tend to sit for a week.' On March 18, after the borrowers' employer confirms a raise that starts in June, she reissues the Loan Estimate: the origination fee is 620 higher, the recording fee 120 higher, and the appraisal fee 95 higher.
796 words, about 4 min2Two Offers, One Income, and a Merger Announcement
Marcus and Elena are buying a 520,000 townhouse with 20% down, a 760 middle score, and 58,000 in verified reserves. Marcus earns 8,400 gross monthly; Elena, a nurse, earns 2,800.
767 words, about 4 min3The Appraisal Gap, the Expiring Lock, and the Late Survey Fee
A purchase contract is signed February 14 for 425,000 with a May 2 closing. The buyers are first-timers putting 10% down, so the loan is 382,500, locked April 1 for 45 days at 6.250%, with a 0.250-point extension available in 15-day blocks.
795 words, about 4 min4The Inflated Pre-Approval and the Convenient Gift Letter
Devon originates for a New York-licensed mortgage banker. He has pre-approved the Hendersons for 475,000 - 310,000 from his salary and 165,000 from her two-year-old 1099 income - at 10% down and a 41% debt-to-income ratio.
822 words, about 4 min5The 'Mandatory' CEMA and the Points-and-Fees Test
A Queens borrower is refinancing. Her first mortgage balance is 472,000 at 7.375% with 27 years remaining; she also carries a 38,000 HELOC at prime plus 1.50% from a different bank.
789 words, about 4 min