Finance
Pennsylvania's Construction-to-Permanent mortgage is used for:
APurchasing foreclosed properties requiring rehabilitation
BFinancing new home construction that automatically converts to a permanent mortgage upon completion✓ Correct
CCommercial construction projects only
DLand purchase without any construction plans
Explanation
A construction-to-permanent loan in Pennsylvania funds construction draws during the building phase, then automatically converts to a traditional mortgage when construction is complete. This avoids the need for a separate construction loan and then a separate permanent mortgage with two sets of closing costs.
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