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1 FINANCE MCQS

The loan given to businesses or individuals to buy land, a home, or other property is called __________.

  • Secondary loan
  • Primary loan
  • Mortgages
  • Swapped mortgages
Correct Answer: C. Mortgages

Detailed Explanation

A mortgage is a loan provided by a bank or financial institution to businesses or individuals for purchasing land, homes, or other real estate properties. The property itself serves as collateral, meaning the lender can claim ownership if the borrower fails to repay. Mortgages are one of the most common forms of long-term financing in real estate, and they typically involve fixed or variable interest rates along with scheduled repayments.

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