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

Rear lining of chimney. An acceptable chimney back lining can be achieved by plastering the interior surfaces of the chimney. A better alternative, however, is a manufactured lining of ...

Giving of a promise or guarantee to the receiver to instill confidence. ...

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

Individual corporation, and so on permitted by law to own property and engage in business. Here, two or more companies operate under common control. Separate economic unit subject to ...

Room that is fit for living in. the building in which the room is located conforms with the building code and has a certificate of occupancy. Usable for all purposes, but does not include ...

Method of valuing a property through examination and comparison of recent sales of comparable properties. ...

Estimated price at which a partner in a partnership can buy out another partner. There are several methods for developing a buy-out estimate including market comparisons, appraisals, or ...

(1) Paved roadway constructed above lowlands such as a swamp. (2) Roadway in ancient Egypt connecting the valley temple with a pyramid. ...

Under law, a warranty in effect even if not expressly stated. It provides that real property sold is warranted to be appropriate for sale and is in proper condition even if not stated, ...

Popular Real Estate Questions