Finance

In Ohio, a 'warehouse line of credit' used by mortgage banks is:

AA loan to warehouse businesses secured by inventory
BShort-term funding used by mortgage originators to fund loans before selling them to the secondary market✓ Correct
CA type of HELOC for commercial property
DA Federal Reserve lending facility for small banks

Explanation

A warehouse line of credit is short-term financing for mortgage originators. They use it to fund new loans, then repay the line when the loans are sold to investors on the secondary market.

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