Finance
A NJ buyer purchasing an investment property (not owner-occupied) typically faces what difference in mortgage terms compared to a primary residence loan?
ANo difference in terms
BHigher down payment requirements (typically 15–25%) and higher interest rates✓ Correct
CLower interest rates as the property generates income
DNo down payment required
Explanation
Investment property loans carry higher risk for lenders and typically require larger down payments (15–25%) and charge higher interest rates than owner-occupied primary residence loans.
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