Question

Interest rates on mortgages are lower because the home is ____.(1 point)
-used
-secured
-collateral
-stable

Answer 1

Lower than what?

Answer 2

Maybe this will help you,

Google says,

1)used
adjective
1.having already been used.
2.secondhand.

2)se·cure
verb

1.fix or attach (something) firmly so that it cannot be moved or lost.

3)col·lat·er·al
noun
1.something pledged as security for repayment of a loan, to be forfeited in the event of a default.
2.a person having the same descent in a family as another but by a different line.

adjective
1.used euphemistically to refer to inadvertent casualties among civilians and destruction in civilian areas in the course of military operations.
2.descended from the same stock but by a different line.

4)sta·ble1
adjective
1.not likely to change or fail; firmly established.

Hope this helps!

Answer 3

A lower rate often applies when the risk to the lender of loss is lower. Think: why would the interest rate applying to a home mortgage be lower than the rate applying to a personal loan?

Answer 4

The answer is collateral.

Answer 5

The home IS collateral, this makes the LOAN secured.