Finance
In Indiana, a purchase money mortgage is one where:
AThe buyer pays cash with no mortgage
BThe seller provides financing to the buyer as part of the purchase transaction✓ Correct
CThe lender provides funds specifically for a first home purchase
DThe government subsidizes the down payment
Explanation
A purchase money mortgage is given by the buyer to the seller (or a third-party lender) as part of the purchase price. Seller financing creates a purchase money mortgage, which has special priority rules regarding other liens.
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