Finance
A 'bridge loan' in real estate is used to:
AA. Finance improvements to a bridge located on the property
BB. Provide short-term financing while the borrower's existing home is being sold✓ Correct
CC. Permanently refinance an existing mortgage
DD. Finance commercial properties only
Explanation
A bridge loan is short-term financing that 'bridges' the gap between the purchase of a new home and the sale of an existing one. It is typically expensive and repaid when the old home sells.
Related Georgia Finance Questions
- The FICO score most commonly used in mortgage lending ranges from:
- The Equal Credit Opportunity Act (ECOA) prohibits lenders from discriminating in lending based on:
- Under RESPA, which payment is prohibited?
- Discount points paid at closing are used to:
- A home equity loan differs from a HELOC in that:
- A mortgage that allows the borrower to draw funds up to a set limit during a draw period is called:
- A balloon mortgage features:
- An interest rate cap on an ARM loan protects the borrower by:
Practice More Georgia Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Georgia Quiz →