Finance
In Michigan, seller financing (a purchase money mortgage) means:
AThe seller's lender finances the buyer's purchase
BThe seller acts as the lender and extends credit to the buyer in the form of a mortgage✓ Correct
CThe seller deposits funds in escrow to subsidize the buyer's interest rate
DThe seller makes the down payment on behalf of the buyer
Explanation
In seller financing (purchase money mortgage), the seller acts as the lender, accepting a promissory note and mortgage from the buyer instead of full cash at closing. The buyer makes payments directly to the seller.
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