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

Disable ads (and more) with a membership for a one time $4.99 payment

Prepare for the Certified Apartment Portfolio Supervisor (CAPS) Exam with our comprehensive quiz. Utilize flashcards and multiple-choice questions designed to ensure a solid understanding of property management principles. Get ready to excel in your exam!

Start Multiple Choice Practice Test
Start Flash Cards

Practice this question and more.

What is a key advantage of government-sponsored loans?

  1. Higher interest rates

  2. Lower down payments

  3. Lower interest rates

  4. No documentation requirements

The correct answer is: Lower interest rates

A key advantage of government-sponsored loans is that they typically offer lower interest rates compared to conventional loans. These loans are often backed by government entities, which reduces the risk for lenders. As a result, lenders can provide financing at more favorable rates. Lower interest rates can significantly reduce the overall cost of borrowing, making home ownership more accessible and manageable for borrowers. While some loans may have lower down payment requirements, the primary characteristic of government-sponsored loans that distinguishes them is the lower interest rate that helps homeowners save money over time. This advantage can lead to substantial savings on monthly mortgage payments, further reinforcing the appeal of these loans for prospective buyers.

More Questions Like This