Finance
In South Carolina, a 'purchase money mortgage' (PMM) is:
AAny mortgage used to purchase property
BA specific lien that arises from seller financing at the time of sale, often given priority over other liens✓ Correct
CA government program providing money for home purchases
DA second mortgage in addition to the primary purchase mortgage
Explanation
A purchase money mortgage is financing provided by the seller at the time of sale. It may receive priority as a first lien even over pre-existing liens if properly structured. It is a form of seller financing used when traditional bank financing is unavailable.
Related South Carolina Finance Questions
- A South Carolina lender's 'appraisal contingency' protects the buyer when:
- In South Carolina, RESPA (Real Estate Settlement Procedures Act) prohibits:
- In South Carolina, a 'blanket mortgage' covers:
- What is 'yield maintenance' in South Carolina commercial mortgage lending?
- Which of the following types of mortgages allows a borrower to make interest-only payments for a set period, after which they must pay principal and interest?
- In South Carolina, a 'purchase money second mortgage' is created when:
- What is a 'bridge loan' commonly used for in South Carolina real estate transactions?
- A conventional conforming loan is one that:
Practice More South Carolina Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free South Carolina Quiz →