Debt Financing
Raising money by mortgages and borrowing the money directly from financial institutions. The presence of debt financing provides financial leverage, which tends to magnify the effects of increased operating profits on the individual and corporation's returns. Interest is tax deductible. Further, leverage is desirable as long as the borrowed funds produce a return in excess of their cost. However, to much debt can result in higher levels of financial risk in meeting the principal and satisfying interest payments. Excessive debt will make it more difficult to raise funds and will increase further borrowing costs.
Popular Real Estate Terms
To upgrade a facility by installing up-to-date technology as well as introducing stylistic changes reflecting current patterns. Modernizing a facility can add substantially to its value and ...
The American Institute of Real Estate Appraisers, in short, the AIREA, or the Appraisal Institute as it is known nowadays, is an institute that aims to advance professionalism in the real ...
Residing in or using real estate. An example is a tenant in an office building. ...
Same as term deed of trust: A document that conveys title to a neutral third party (trustee) during the period in which the mortgage loan is outstanding as collateral for a debt. ...
The nonavailability of jobs for people able and willing to work at the prevailing wage rate. It is important measure of economic health, since full employment is generally constructed as a ...
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Also called profit and loss statement. A financial statement depicting a business entity's operating performance and reports the components of net income, including sales of real estate, ...
See accommodation endorser, maker, or party. ...
Time period in which one may carry out a lien on property. ...
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