Finance
In South Dakota, a 'bridge loan' in real estate is used to:
AFinance the construction of bridges as infrastructure
BProvide short-term financing to bridge the gap between purchasing a new property before the buyer's existing property sells✓ Correct
CConvert a construction loan to a permanent mortgage
DRefinance a property at a lower interest rate
Explanation
A bridge loan (also called a swing loan) is short-term financing that allows a buyer to purchase a new property before their existing home has sold, using their equity in the existing home as collateral. The bridge loan is repaid when the existing home sells.
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