Which of the Following Is NOT Characteristic of the Real

question 26

Multiple Choice

Which of the following is NOT characteristic of the real estate portfolio for most banks?

• A)Commercial real estate mortgages have been the fastest growing component of real estate loans.
• B)Adjustable rate mortgages have rates that are periodically adjusted to some index.
• C)Borrowers prefer fixed-rate loans to ARMs during periods of high interest rates.
• D)Residential mortgages are the largest component of the real estate loan portfolio.
• E)The proportion of ARMs to fixed-rate mortgages can vary considerably over the rate cycle.

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Definitions:

Occupations

Jobs or professions that individuals engage in to earn a living.

Russia

The largest country in the world by area, spanning Eastern Europe and Northern Asia, known for its rich history, cultural heritage, and as a major global power.

Canada

A country in North America known for its vast landscapes, multicultural cities, and bilingual French and English heritage.

Earnings

Earnings refer to the amount of money an individual makes from work or investments, often considered as a measure of financial success or economic contribution.