Licensees are prohibited from promising which of the following regarding mortgage loan applications?

The correct choice is the prohibition against promising "immediate approval" of any mortgage loan application. This is rooted in the principles of fair and responsible lending practices. In the mortgage industry, guaranteeing immediate approval can mislead consumers about the lending process, which is inherently complex and often subject to various factors, including creditworthiness, income verification, and property appraisal.

Promising immediate approval can create unrealistic expectations and may lead to consumer dissatisfaction if those expectations are not met. The New Jersey Residential Mortgage Lending Act is designed to protect consumers by ensuring that lending practices are transparent and that borrowers receive accurate information about the status of their applications.

The other options, while they may still need to be presented truthfully and in the context of reasonable lending practices, do not carry the same absolute promise of an outcome that immediate approval does. Flexible down payment options, lower interest rates for first-time buyers, and co-signer approval can be discussed as possibilities or features of loan products, but they do not imply certain or immediate processing outcomes like an "immediate approval" promise does.