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FinancingLoan TypesMEDIUM

A balloon mortgage in Wyoming:

Correct Answer

B) Has regular payments with a large lump-sum final payment

Regular monthly payments with remaining balance due at end of a shorter term (typically 5-7 years). Sometimes used for ranch and agricultural properties in Wyoming.

Answer Options
A
Has increasing payments each year
B
Has regular payments with a large lump-sum final payment
C
Is interest-only for 30 years
D
Requires no first-year payments

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Related Topics & Key Terms

Related Topics:

refinancing riskGraduated Payment Mortgage (GPM)interest-only loansseller financingagricultural lendingamortization

Key Terms:

balloon mortgagelump-sum paymentamortizationrefinancing riskGraduated Payment Mortgageranch financingWyoming agricultural lending
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