What condition can trigger the due-on-sale clause in a mortgage?

The due-on-sale clause in a mortgage is triggered when the property is sold. This clause allows the lender to demand full repayment of the loan if the property is transferred to a new owner without the lender's consent. It's designed to protect the lender's interests by ensuring that they can evaluate the creditworthiness of a new borrower. When the property changes hands, the lender has the right to reassess the loan's terms or call it due entirely, as the risk profile may change when a property is owned by someone different.

The other potential situations listed, such as refinancing or making late payments, do not involve a transfer of ownership and typically do not invoke the due-on-sale clause. Obtaining additional financing also does not necessarily trigger this clause unless it involves selling the property as part of that financing process. Thus, selling the property directly connects with the due-on-sale clause, making it the correct answer in this context.