________ clauses require the buyer to pay the full amount of the remaining loan balance or to finance the balance at prevailing interest rates.
A)Diligence
B)Lien
C)Foreclosure
D)Due-on-sale

Question

Quizplus · Accepted Answer

Due-on-sale clauses, also known as alienation clauses, require the buyer to pay the full amount of the remaining loan balance or to finance the balance at prevailing interest rates if the property is sold or transferred to a new owner. This clause protects the lender's interests by ensuring that they receive the full amount of their loan, even if the property is sold to a new owner.

________ Clauses Require the Buyer to Pay the Full Amount