Contracts

In Missouri, a 'bridge loan' used in a real estate transaction is an example of what type of financing?

ALong-term permanent financing
BShort-term interim financing secured by the buyer's existing property✓ Correct
CGovernment-subsidized housing loan
DAgricultural land financing

Explanation

A bridge loan provides short-term financing (often secured by the buyer's current home equity) to fund the purchase of a new home while waiting for the existing home to sell.

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