Finance
A 'due on sale' clause in a Minnesota mortgage requires:
AThe buyer to pay the full mortgage at closing
BThe seller to pay off the mortgage upon sale of the property
CThe lender's consent for the loan to be assumed by a new buyer✓ Correct
DThe borrower to make a balloon payment after 5 years
Explanation
A due-on-sale (alienation) clause requires the loan to be paid off in full when the property is sold or transferred, unless the lender consents to a loan assumption by the new buyer.
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