Which two agencies govern mortgage-related activities in California?

The correct answer identifies the Department of Real Estate and the Department of Corporations as the two key agencies that govern mortgage-related activities in California. The Department of Real Estate is responsible for licensing real estate brokers and salespersons, overseeing transactions, and ensuring compliance with state real estate laws. It plays a crucial role in regulating the activities of real estate professionals, including those involved in mortgage lending.

The Department of Corporations, now part of the Department of Financial Protection and Innovation, was previously the regulatory body for financial institutions, including lenders and mortgage companies. It ensures that entities engaged in lending and financial activities comply with state regulations that protect consumers and maintain fair lending practices.

Recognizing the specific roles of these two agencies helps understand the structure of mortgage regulation in California and the importance of compliance with state laws in the lending industry.