select the correct answer. which phrase best describes mortgage collateral? a. money used as a down payment…

select the correct answer. which phrase best describes mortgage collateral? a. money used as a down payment for the loan b. assets obtained after securing the loan c. the purchased property that secures the loan d. closing costs covered by the buyer
Answer
Brief Explanations:
Mortgage collateral is an asset that a borrower offers to a lender to secure a mortgage loan. In the case of a mortgage, the purchased property itself serves as the collateral. If the borrower defaults on the loan, the lender can seize the property. Down - payment is not collateral, assets obtained after the loan is secured are not related to the initial collateral, and closing costs are not collateral.
Answer:
C. the purchased property that secures the loan