Definition of "Take-out loan"

Marty Welsh real estate agent

Written by

Marty Welshelite badge icon

The Bob Lucido Team, LLC of Keller Williams Integrity

Form of financing that replaces or "takes-out" a construction loan to a developer. The take-out loan is a permanent mortgage loan which replaces the construction loan when, commonly, the builder has successfully sold, at minimum, a majority of the units under construction. A developer must arrange take-out financing before ha can hope to get a construction loan.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Real Estate Terms

A map that shows land elevations. ...

Situation where a neighbor hood is gradually occupied by progressively lower income people. ...

One based on the whole body of the law. A lawful right is being exercised. ...

Local government ordinances governing real estate development including structural and design aspects. Zoning ordinances usually define various usage classifications ranging from ...

In real estate, the term "preamble" refers to an introductory statement that outlines the fundamental principles and goals guiding the industry's practices. Specifically, in the National ...

Person's title to real estate giving him exclusive power and rights owner it. ...

Loan mandating equal periodic payments to pay off the loan subsequent to the last payment. ...

Arbitrary value assigned to real property without any scientific or technical reason. It is a personal decision based on a hunch. ...

It is intended to stimulate private investment in distressed cities and urban counties by providing federal "seed money' to attract private funds for such projects as industrial parks and ...

Popular Real Estate Questions