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LSDefine

Simple English definitions for legal terms

Purchase Money Mortgage

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A quick definition of Purchase Money Mortgage:

A purchase money mortgage is when someone buys a house and gives the seller a loan to help pay for it. This loan is usually in place of some of the money the buyer would have paid the seller in cash. For example, if someone buys a $500,000 house, they might get a $400,000 loan from a bank, pay $60,000 in cash, and give the seller a $40,000 loan. These loans have higher interest rates than regular bank loans and are often used by people who don't have enough money saved up or have bad credit.

A more thorough explanation:

A purchase money mortgage is a type of mortgage that a buyer gives to the seller of a property as part of the deal to buy the property. This mortgage usually replaces part or all of the cash that the buyer would otherwise pay the seller.

For example, if a buyer wants to buy a $500,000 house, they might pay for it with a $400,000 bank mortgage, $60,000 in cash, and a $40,000 purchase money mortgage.

Purchase money mortgages have higher interest rates than traditional bank mortgages. They are often used by buyers who don't have enough savings to cover a traditional down payment or who can't get a large enough bank mortgage due to poor credit.

Another example of a purchase money mortgage is when a buyer wants to buy a property that is worth $200,000, but they only have $150,000 in cash and can't get a bank mortgage for the remaining $50,000. In this case, the buyer could offer the seller a purchase money mortgage for the remaining $50,000.

These examples illustrate how a purchase money mortgage can be used to help a buyer purchase a property when they don't have enough cash or can't get a traditional bank mortgage.

pur autre vie | Purchase Money Resulting Trust

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MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
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