Certified Apartment Portfolio Supervisor (CAPS) Practice Exam - Module 1

Disable ads (and more) with a membership for a one time $2.99 payment

Prepare for the Certified Apartment Portfolio Supervisor Exam with flashcards and multiple choice questions. Each question provides detailed explanations and hints to enhance your learning. Excel in your exam endeavor!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What do lender requirements typically include?

Preferred tenants
Loan term and interest rate
Property management fees
Cost of maintenance

The correct answer is: Loan term and interest rate

Lender requirements typically include loan term and interest rate because these factors are critical in determining the financial structure of a loan. The loan term refers to the duration over which the loan must be repaid, which can significantly impact monthly payments and total interest paid over time. The interest rate, which is the cost of borrowing the money, is essential as it affects the overall expense of the loan. Lenders assess these terms to evaluate the risk associated with the loan and to ensure that the borrower can meet repayment obligations. On the other hand, preferred tenants, property management fees, and the cost of maintenance are generally not criteria used by lenders when evaluating a loan application. Preferred tenants relate more to property management practices and tenant selection strategies rather than lending criteria. Property management fees and maintenance costs, while important operational aspects of property management, do not directly influence the specific lending requirements set by financial institutions.