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Due on sale clausea provision of a loan allowing the lender to demand full repayment of the loan if the property is sold.
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Due on sale clauseAn agreement in the loan contract that demands the loan be paid off when the property is sold.
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Due on sale clauseA due-on-sale clause is a clause in a loan or promissory note that stipulates that the full balance may be called due upon sale or transfer of ownership of the property used to secure the promissory n [..]
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