Floor Loan
Definition of "Floor loan"
A minimum amount a lender is willing to provide on a commercial loan for a building designed to be tenant occupied. A floor loan is progressively funded as the building moves from the initial construction stage of occupancy. At its inception, a floor loan may fund up to 75% of the principal amount of the total loan and then provide additional portions of the principal as the building is constructed.
Popular Real Estate Terms
Payment received after the due date. A penalty and/or interest may be charged on such payment. For example, a bank may charge a penalty of $25 if a mortgage payment is received after the ...
Number of times a given amount of capital assets turn over to generate sales over a given period of time. ...
Loan that combines smaller loans into one larger loan and typically arises from refinancing debt. It typically results in a lower overall interest rate, longer payment schedule, and lower ...
Document, such as a deed, which demonstrates property ownership. ...
Timber in an original form, such as a pole. ...
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Received immediately when an investment is made or contract signed. For example, a real estate limited partnership may require that an investor pay a 3% sale fee at the time of initial ...
The definition of real estate owned (REO) is known by heart by house flippers or by real estate agents specialized in bank owned properties. These are properties that once used to be in a ...
Valuing real property based on the expected cost to buy property of identical value. The replacement cost to build a structure should be based on current prices. The appraisal should ...
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