Contracts

In Michigan, a 'bridge loan' is best described as:

AA permanent 30-year mortgage
BShort-term financing that 'bridges' the gap between buying a new home and selling an existing one✓ Correct
CA construction loan for new home builders
DA federally-guaranteed mortgage program

Explanation

A bridge loan provides temporary short-term financing to allow a buyer to purchase a new property before their existing home sells, 'bridging' the financial gap until the proceeds from the sale of the old home are available.

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