Finance
A South Carolina buyer uses a 'piggyback loan' (80-10-10 structure). This means they:
ATake out three separate loans for the purchase
BFinance 80% with first mortgage, 10% with second mortgage, and put 10% down to avoid PMI✓ Correct
CFinance 80% and pay 10% down with 10% seller financing
DBorrow 80% from one bank and 10% from another
Explanation
A piggyback (80-10-10) loan structure allows the buyer to avoid PMI by using a first mortgage for 80%, a second mortgage (HELOC) for 10%, and a 10% down payment, keeping each loan at or below 80% LTV.
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