A presale agreement is said to be equivalent to take-out funding that may be used to repay

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A presale agreement is said to be equivalent to take-out funding that may be used to repay the construction loan. What will the construction lender be concerned about if the developer plans to use such an agreement?

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Real Estate Finance And Investments

ISBN: 9781259919688

16th Edition

Authors: William Brueggeman, Jeffrey Fisher

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Question Posted: Mar 07, 2024 01:01 AM

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A presale agreement is said to be equivalent to a take-out commitment. What will the construction lender be concerned about if the developer plans to use such an agreement in lieu of a take-out?
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A presale agreement is said to be equivalent to take-out funding that may be used to repay

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SOLUTION If a developer plans to use a presale agreement as a means to repay the construction loan the construction lender would typically be concerne...View the full answer

Real Estate Finance And Investments

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