Finance
A 'balloon payment' mortgage in West Virginia is characterized by:
ADecreasing monthly payments over the loan term
BRelatively low monthly payments with a large lump-sum payment due at the end of the loan term✓ Correct
CMonthly payments that adjust based on the prime rate
DA payment structure that eliminates interest in the final years
Explanation
A balloon mortgage has regular (often lower) monthly payments with a large 'balloon' payment of the remaining principal balance due at loan maturity. The borrower must pay off, refinance, or sell before the balloon is due.
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