Finance

A 'purchase money mortgage' (PMM) is:

AA mortgage used to buy a primary residence only
BA mortgage given by the buyer to the seller as part of the purchase price✓ Correct
CA government-backed loan for first-time homebuyers
DA line of credit secured by real estate

Explanation

A purchase money mortgage is a mortgage given by the buyer directly to the seller (or a lender) as part of the financing for the property purchase. Seller-financed PMMs are a form of seller financing where the seller takes back a note and mortgage instead of cash.

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