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1 FINANCE MCQS

Commercial mortgages, farm mortgages, and home mortgages are categories of?

  • Swapped mortgages
  • Sovereign mortgages
  • Secondary mortgages
  • Primary mortgages
Correct Answer: D. Primary mortgages

Detailed Explanation

Mortgages are broadly divided into primary mortgages and secondary mortgages. Commercial mortgages, farm mortgages, and home mortgages fall under the category of primary mortgages, which are the original loans taken directly from lenders to finance real estate purchases. In contrast, secondary mortgages involve resale or trading of these loans in the secondary market. Primary mortgages are the foundation of real estate financing, covering both residential and commercial needs

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