A balloon payment mortgage makes the best sense for borrowers who carefearful of?

A. taking risks when borrowing money.

B. planning on selling their homes before the term of the loan ends.

C. looking to avoid borrowing money from banks.

D. anticipating losing their jobs in the next few years.

Question

Business

Hamza Benjamin

20 September, 08:14

A balloon payment mortgage makes the best sense for borrowers who carefearful of?

A. taking risks when borrowing money.

B. planning on selling their homes before the term of the loan ends.

C. looking to avoid borrowing money from banks.

D. anticipating losing their jobs in the next few years.

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Answers (1)

Know the Answer?

Marco Beasley · Answer 1

The answer is B.

A balloon payment mortgage makes the best sense for borrowers who care fearful of planning on selling their homes before the term of the loan ends. A balloon payment mortgage is the mortgage which doesn’t completely amortize on the term of the communication; hence a balance is left due at development. It is called a balloon payment because the finishing payment is huge. It is usually seen in commercial real estate compared to residential real estate.

A balloon payment mortgage makes the best sense for borrowers who carefearful of?A. taking risks when borrowing money.B. planning on selling their homes before the term of the loan ends.C. looking to avoid borrowing money from banks.D. anticipating losing their jobs in the next few years.

A balloon payment mortgage makes the best sense for borrowers who carefearful of?

A. taking risks when borrowing money.

B. planning on selling their homes before the term of the loan ends.

C. looking to avoid borrowing money from banks.

D. anticipating losing their jobs in the next few years.