Finance
What is a 'bridge loan' in Illinois real estate financing?
AA loan for properties located near bridges or waterways
BA short-term loan used to 'bridge' the gap between the purchase of a new property and the sale of an existing one✓ Correct
CA construction loan for building bridges on commercial properties
DA government loan program for infrastructure improvements near real estate
Explanation
A bridge loan is short-term financing (typically 6 months to 2 years) that allows a buyer to purchase a new property before their existing property sells. Bridge loans carry higher interest rates and fees than traditional mortgages because of their short-term, higher-risk nature.
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