Question

SEND HELP PERSONAL FINANCE TIMED TEST

People most likely need to take out a mortgage when they

have bad credit.
are making a large purchase.
are spending less than $1,000.
have legal problems.

Answer 1

are making a large purchase.

Step-by-step explanation:

A mortgage is a long term debt. It takes at least five years to repay a mortgage. In practice, mortgages are issues for between 10 and 30 years.

Mortgages are ideal for purchases requiring a colossal amount of money. For example, the purchase of homes, land, plants, and equipment. The repayment of the amount borrowed to facilitate such purchases is spread over many years. This enables the borrower to repay the loan in affordable monthly installments.