Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

If the market value of your custom home is $613,100, and your construction loan is 86% LTVR, and your estimate to build the home is

If the market value of your custom home is $613,100, and your construction loan is 86% LTVR, and your estimate to build the home is $562,991:

What is your Investment Capital Requirement (the amount of money you need to invest to do the job)? In this case you're just looking for the difference between the estimate to build and the construction loan. Profits come after you've sold the home (hopefully for market value).

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Valuing A Business

Authors: Shannon P. Pratt, Robert F. Reilly, Robert P. Schweihs

4th Edition

0071356150, 978-0071356152

More Books

Students also viewed these Finance questions

Question

How can we develop co-operative strategies? And use game theory?

Answered: 1 week ago