Finance
In Texas, 'construction-to-permanent' (C2P) financing combines which two loans into one process?
AA land loan and a home equity loan
BA short-term construction loan and a long-term permanent mortgage, converting at the end of construction✓ Correct
CA first mortgage and a second mortgage
DA bridge loan and a HELOC
Explanation
Construction-to-permanent financing starts as a construction loan (short-term, interest-only draws as work progresses) and converts to a permanent mortgage when construction is complete. This eliminates the need for a separate construction loan closing and a separate mortgage closing, saving time and money.
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