Hawaii Real Estate Salesperson Exam 2025 – 400 Free Practice Questions to Pass the Exam

The correct choice indicates that the buyer must receive the good faith estimate statement at the time of loan application. This requirement is part of the Real Estate Settlement Procedures Act (RESPA), which aims to provide consumers with timely information about the costs associated with their mortgage loans.

The good faith estimate is an important document that outlines the estimated costs the buyer can expect to encounter during the closing process, including loan fees, closing costs, and other expenses. By providing this disclosure to the buyer at the time of loan application, RESPA helps ensure that consumers are informed and can make better financial decisions.

This requirement emphasizes the buyer's need for transparency in the mortgage process, allowing them to compare different loan offers and understand the overall financial commitment they are entering into. In summary, the good faith estimate is crucial for the buyer as it aids in their preparation for the closing costs, making it essential that they receive it as part of their loan application process.