Finance
Under Massachusetts practice, a 'mortgage commitment' is different from a 'pre-approval' because a commitment:
AIs only verbal and not binding
BIs the lender's firm written agreement to lend after full underwriting review of the specific property and borrower✓ Correct
CRequires only a credit check
DIs issued before the property is identified
Explanation
A mortgage commitment is a firm, written lending commitment issued after full underwriting review of both the borrower and the specific property. A pre-approval is a preliminary assessment before a property is identified and full underwriting is complete.
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