Finance

A seller who provides owner financing and takes back a first mortgage is in the position of:

AThe mortgagor (borrower)
BThe mortgagee (lender) with a security interest in the property✓ Correct
CA co-signer on the buyer's conventional loan
DA subordinate lienholder

Explanation

When the seller takes back a mortgage (purchase money mortgage), they become the mortgagee (the lender). The buyer is the mortgagor (the borrower) pledging the property as security.

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