CeMAP Case Studies: A Worked Example and a Method That Works

CeMAP® case studies are customer scenarios followed by linked multiple-choice questions. They make up the whole of CeMAP 3 (the ASEW unit) and the last 15 marks of FRE1 and FRE2. This guide deals with CeMAP 3 case studies first, because the ASEW paper is six of them in two hours, and then shows how the shorter FRE cases differ. The worked example uses England and Wales rules, such as SDLT and exchange of contracts, as the ASEW paper does. For the CeMAP 3 syllabus outcome by outcome, see the CeMAP 3 (ASEW) guide. Every case on this page is original. Walbrook (LIBF) does not publish past papers, and we don't use any.

How do case studies work in CeMAP?

CeMAP case studies work by attaching several questions to one scenario: FRE1 and FRE2 each end with 3 case studies of 5 questions after 25 standalone questions, and the CeMAP 3 exam is 6 case studies of 10 questions in 120 minutes.

Unit	Case studies	Questions per case	Case-study marks	Time for the whole paper
FRE1	3	5	15 of 40	60 minutes
FRE2	3	5	15 of 40	60 minutes
MRT1	None	—	0 of 50	60 minutes
MRT2	None	—	0 of 40	60 minutes
CeMAP 3 (ASEW/ASSC)	6	10	60 of 60	120 minutes

Sources: the CeMAP qualification specification and the FSRE specification.

Each case-study question is a single-answer multiple-choice question worth 1 mark. The FSRE specification states "1 answer from 4"; for ASEW, Walbrook says only "multiple-choice", and our papers use 4 options. There is one pass mark per unit (28/40 for FRE, 42/60 for CeMAP 3), with no separate hurdle for the cases. Our pass mark guide shows how the marks add up.

Key fact: A case-study question is not worth more than a standalone question. It simply takes longer, because you must read the scenario first.

What is in a CeMAP 3 case study?

A CeMAP 3 case study is a customer fact-find written as a short narrative: circumstances, income, commitments, the property, goals and existing protection, followed by 10 linked questions that can draw on any of the six ASEW learning outcomes (LO1 to LO6).

The specification does not publish a case template, so the table below is our reading of the syllabus. It shows what each part of a fact-find usually feeds.

Fact-find element	What to mark as you read	Questions it tends to feed
Circumstances: ages, relationship, children, health	Term to retirement, joint or sole application, signs of vulnerability	LO1 (AC1.1), LO4
Income: employed, self-employed, variable, pension	Gross amounts, planned changes such as parental leave	LO1 (AC1.2), loan to income
Commitments: loans, cards, childcare, maintenance	Monthly cost and months remaining	Affordability (AC1.2, AC4.1)
Property: price, valuation, tenure, type, location	Which nation, freehold or leasehold, new build	LTV, property tax (AC2.7), LO6
Goals: certainty, flexibility, moving, retiring, letting	The customer's own words	Product choice (AC1.3 to AC1.5), LO4
Protection: existing cover, employer benefits, wills	Who is uncovered, and for what	LO5, AC4.7

Each case mixes calculation, suitability, regulation, protection and process. Our mocks weight the questions as the CeMAP 3 guide sets out, with solutions and ethical advice carrying the most and house-buying the least. That split is ours; Walbrook publishes none.

Exam tip: If a fact in the scenario has not been used after eight questions, expect it in question nine or ten. Exam cases rarely carry spare detail.

How should you read a case study before the questions?

A case study is best read in three passes: skim the 10 questions first, then read the scenario once while marking numbers, dates and stated priorities, then answer each question from the scenario's facts rather than from what usually happens.

1. Skim the questions (about 1 minute). Note which ones need a figure and which ask "most suitable", "first" or "must".
2. Read the scenario once, marking five things: every number; ages and dates; relationships (married, civil partners, unmarried, a guarantor); the customer's stated priorities; and anything unusual, such as a past default, a planned career break or a second property.
3. Note the key figures if the exam instructions allow working notes: years to retirement, combined income, loan, price and valuation.
4. Answer in order, working each calculation when you reach it. If a question is taking more than 2 minutes, flag it and move on.
5. Re-read the last line of each stem before choosing. "Which is not", "what should the adviser do first" and "which rule requires" each change the answer.
6. Check the answer against the case. The right option fits this customer, not customers in general.

Walbrook's public pages do not say whether working paper is allowed in the remotely invigilated exam, so check the Brightspace instructions and practise both ways.

Exam tip: Underline the customer's stated priorities. When two options are technically possible, the one that meets the customer's own words is almost always the answer.

Worked example: a first-time buyer case study

This worked example is an original CeMAP 3-style case study: a couple buying a £260,000 house in England, with five questions covering LTV, SDLT at 2026/27 rates, product suitability, an MCOB disclosure rule and protection, each answered with its reasoning.

A real exam case carries ten questions; this one carries five. The figures and names are invented.

The case: Callum Reid and Aisha Begum

Callum (29) and Aisha (31) are an unmarried couple renting in Leeds. They have agreed to buy a freehold three-bedroom semi-detached house for £260,000, subject to contract, and have saved a deposit of £39,000. They want to borrow £221,000 over 30 years on a repayment basis.

Callum is a permanent hospital radiographer earning £36,000 a year. Aisha is a permanent secondary school teacher earning £29,000 a year. Aisha has a car finance agreement costing £240 a month, with 22 months left. Callum has no debts.

Callum has never owned property. Aisha co-owned a flat in Sheffield with her sister from 2018 until they sold it in 2023, and owns no property now.

They plan to start a family within two years, after which Aisha expects to work three days a week. They have told the adviser they want "a payment that will not change for at least five years", and they are happy to pay a product fee if it brings the rate down.

Callum's employer provides death-in-service benefit of twice his salary. Aisha has no life cover. Neither of them has made a will.

Question 1: loan to value

The lender's valuer values the house at £250,000. What loan to value does the requested loan represent?

• A. 85.0%
• B. 88.4%
• C. 11.6%
• D. 113.1%

Answer: B. Lenders base LTV on the lower of the price and the valuation, so £221,000 ÷ £250,000 = 0.884, or 88.4%. A uses the £260,000 price. C is the equity share left after the loan (100% − 88.4%). D divides the valuation by the loan. To stay at 85% LTV they could borrow only £212,500, so they would need £8,500 more deposit or a lower price. More examples are in our loan to value guide.

Question 2: stamp duty land tax

Assuming the purchase completes at £260,000, how much SDLT is due?

• A. £0
• B. £500
• C. £3,000
• D. £16,000

Answer: C. First-time buyer relief applies only if every buyer is a first-time buyer, and Aisha has owned a home before. So the standard 2026/27 rates on the gov.uk SDLT residential rates page apply: 0% on the first £125,000, 2% on £125,001 to £250,000 (£2,500) and 5% on the last £10,000 (£500), a total of £3,000. A applies first-time buyer relief, which would give £0 at this price. B charges only the 5% slice. D adds the 5% higher-rates surcharge, which needs a buyer to own another dwelling at completion; Aisha sold her flat in 2023. SDLT is charged on the price, not the valuation. The bands are on our CeMAP tax tables page.

Question 3: suitability

Which product best meets the couple's stated needs?

• A. A two-year tracker at the lowest initial rate, with no fee
• B. A five-year fixed rate with a £999 product fee
• C. A three-year fixed rate with no fee
• D. An offset tracker linked to their savings

Answer: B. The couple asked for a payment that will not change for at least five years, and they accept a fee for a lower rate. Only B gives five years of certainty. A and D are variable, so the payment can change at any time. C fixes the payment, but only for three years. It still depends on affordability: Aisha's move to three days a week is a known fall in income, and the lender must assess affordability (MCOB 11.6.2R), so the payments should be tested on the lower household income.

Question 4: an MCOB disclosure rule

The adviser recommends the five-year fixed rate. When must the couple receive an ESIS for it?

• A. Only with the mortgage offer
• B. Before their application is submitted to the lender
• C. Within 14 days of completion
• D. Only if they ask for one

Answer: B. Under MCOB 5A, the European Standardised Information Sheet must be provided before the application is submitted, and also when advice is given (within 5 business days if the advice is by phone). A is too late, C is after the contract, and D turns a duty into an option. After a binding offer they get at least 7 days to reflect (MCOB 6A.3.4R).

Question 5: protection

Which recommendation best protects the mortgage if either of them dies during the term?

• A. Level term assurance for £221,000 on Callum's life only
• B. Joint-life, first-death decreasing term assurance for £221,000 over 30 years
• C. Rely on Callum's death-in-service benefit
• D. Buildings insurance for the full reinstatement value

Answer: B. Decreasing term assurance falls roughly in line with a repayment mortgage balance, and a joint-life, first-death policy pays out if either partner dies first, which clears the loan for the survivor. A leaves Aisha uncovered and buys level cover the repayment loan does not need. C pays £72,000 (twice £36,000), far short of the loan, and ends if Callum changes job. D insures the building, not their lives. A full case might follow with wills: under intestacy rules in England and Wales, an unmarried partner inherits nothing automatically. See our mortgage protection guide for each type of cover.

Exam tip: The case contained three status facts that changed answers: the valuation, Aisha's earlier ownership and the couple being unmarried. Mark facts like these on the first read.

Which calculations come up in case studies?

The calculations that come up in CeMAP 3 case studies are mostly short: loan to value, loan to income, deposit, stamp duty (SDLT, LBTT or LTT), an early repayment charge, a buy-to-let interest cover ratio and a protection sum assured.

Calculation	Method	Example	Syllabus link
Loan to value	Loan ÷ lower of price and valuation	£221,000 ÷ £250,000 = 88.4%	ASEW AC1.2
Loan to income	Loan ÷ gross annual income	£221,000 ÷ £65,000 = 3.4 times	ASEW AC1.2, AC4.1
Stamp duty	Each slice of the price × its band rate	£260,000 at standard rates = £3,000	ASEW AC2.7; MRT1 AC8.1
Early repayment charge	ERC % × amount repaid above any free allowance	2% × £150,000 = £3,000	MRT2 AC2.5; ASEW AC4.3
Interest cover ratio	Monthly rent ÷ monthly interest at the stress rate	£1,100 ÷ £825 = 133%	ASEW AC2.5, AC4.4
Sum assured	Match the cover to the debt or the income need	£221,000 decreasing over 30 years	ASEW AC5.1

In the ICR example, £825 is the monthly interest on £180,000 at a 5.5% stress rate. Each method is worked step by step on our CeMAP calculations page. The tax figures here are 2026/27; in the exam, use the tax table Walbrook provides with your study materials.

Key fact: A property in Cardiff or Swansea pays Land Transaction Tax, not SDLT. ASEW covers England and Wales, so check which nation the property is in before you pick a tax table.

How do FRE1 and FRE2 case studies differ from CeMAP 3?

FRE1 and FRE2 case studies differ from CeMAP 3 in size and subject: each unit has 3 short cases of 5 questions after 25 standalone questions, testing regulation, law and ethics rather than a full mortgage recommendation.

Feature	FRE1	FRE2	CeMAP 3 (ASEW)
Cases	3 × 5 questions	3 × 5 questions	6 × 10 questions
Position	Part 2, after 25 standalone	Part 2, after 25 standalone	The whole paper
Typical subject (our reading)	Legal concepts: attorney, intestacy, trusts, joint ownership, insolvency	The advice process, complaints, money laundering, vulnerable clients, ethical dilemmas	One mortgage customer from fact-find to completion
Calculations	Rare	Rare	Common

FRE1 case study questions often turn on one legal status fact, such as whether a client still has mental capacity. FRE2 cases read like an adviser's working week: a client pressed by a relative, an unanswered complaint, a colleague cutting corners. A short original FRE2-style example:

A client complains in writing to an advice firm on 2 March, and the firm has not resolved it. Within what period must the firm send a final response, or a holding response explaining the delay?

• A. 15 business days
• B. 8 weeks
• C. 6 months
• D. 6 years

Answer: B. The FCA's complaints rules give the firm 8 weeks from receipt (DISP 1.6.2R). C is the customer's time limit for referring to the Financial Ombudsman Service after a final response, and D is the long-stop for referring a complaint. A applies to payment services, not advice.

The unit pages cover the subjects: CeMAP FRE1 and CeMAP FRE2.

Exam tip: In FRE cases, one word often decides the answer: "partner" rather than "spouse", or "ordinary" rather than "lasting" power of attorney.

How should you time six case studies in two hours?

Six case studies in two hours means about 20 minutes per case, or 2 minutes per question including reading; a safer budget is 18 minutes per case, which leaves 12 minutes at the end for flagged questions.

Checkpoint	Elapsed time
Case 1 finished	18 minutes
Case 2 finished	36 minutes
Case 3 finished	54 minutes
Case 4 finished	72 minutes
Case 5 finished	90 minutes
Case 6 finished	108 minutes
Flagged questions	108 to 120 minutes

Within each case, allow about 3 minutes to skim the questions and read the scenario, then about 90 seconds a question. If case 3 ends after 60 minutes, speed up the reading, not the calculations.

For FRE1 and FRE2, split the 60 minutes roughly in half: about 30 minutes for the 25 standalone questions and 30 for the three cases, roughly 10 minutes each.

There are no toilet breaks, and Walbrook's sources do not mention negative marking, so answer every question rather than leaving any blank.

Exam tip: Do not let one case overrun. Two hard questions left for later cost less than an unfinished sixth case.

Which case-study traps cost the most marks?

The case-study traps that cost the most marks are using the price instead of the valuation, missing that one buyer has owned before, ignoring the customer's stated priority, answering from general knowledge instead of the scenario, and misreading "not" or "first" in the stem.

Trap	How it shows up	Fix
Wrong base figure	LTV worked on the price when the valuation is lower	Always use the lower of price and valuation
Missed status fact	First-time buyer relief claimed when one buyer has owned a home	Check every buyer's history
Cheapest beats suitable	A tracker chosen when the customer asked for certainty	Match the customer's own words
Facts from outside the case	Assuming a couple are married or that employer cover is enough	Use only what the scenario says
Rule timing	ESIS given "at offer", or a mortgage "cancellation right"	Learn when each document and period applies
Wrong nation	SDLT applied to a property in Wales	Check the location, then the tax
Stem words	"Which is not suitable" answered as "which is suitable"	Re-read the last line before choosing

Watch for chain errors too: a later question may depend on an earlier figure, such as the LTV. If your answer is not among the options, re-check the earlier step.

Key fact: Our explanations name the trap behind each wrong option. Logging your misses by trap type, rather than by topic, shows which habit to fix.

Your case-study practice plan

A case-study practice plan for CeMAP 3 takes about four weeks: two weeks of topic drills and single timed cases, then full six-case mocks at 18 to 20 minutes per case until you score 85% or more three times running.

1. Find your starting point. Take the free CeMAP 3 diagnostic: two whole case studies, 20 questions.
2. Practise the method untimed. Use the free ASEW quick practice, two whole case studies with an explanation for every answer, and apply the three-pass reading method to each.
3. Fix weak outcomes. Drill the ASEW learning outcomes you scored lowest on, and work the calculations on our calculations page until they take under two minutes each.
4. Time single cases. Set 18 minutes per case and stop when the time is up.
5. Sit the free full mock. Take ASEW mock 1 under real conditions: six cases, 60 questions, two hours, no breaks.
6. Review by trap type, using the table above, then take fresh mocks.

For FRE1 and FRE2, practise the cases inside a full paper: the free FRE1 mock 1 and FRE2 mock 1 both end with three case studies.

Our readiness rule, the same one the app uses, is three mocks in a row at 85% or more, with every topic at 80% or more. It is a guide, not a pass guarantee. Mocks 2 to 10, topic drills, case-study practice and calculation drills are part of Pro, and one plan covers all five units. If you also need to choose between the England and Wales and the Scottish papers, see ASEW vs ASSC.