Loans for Development

Which of the following types of loans is repaid as part of the selling price when a developer uses the loan proceeds to buy land, which is then subdivided and resold?
A. bridge loan
B. conventional mortgage
C. blanket loan
D. reverse mortgage

Answer is C. blanket loan.
A. is used to buy property and quickly start construction before approval of a long-term loan, in B. a fixed or variable interest rate is applied to borrowed money over a fixed period until the amortized payments are repaid, D. is not a development loan: a 62 year or older borrower is able to release equity in a principal residence with no payments required.
are-review.blogspot.com

Comments

Try These Too!

Imageability

Select 5 components that contribute to imageability , Lynch's concept that posits that a highly imageable city is readily understandable and distinct. A. districts B. social structure C. edge D. landmark E. nodes F. overlapping systems G. paths H. legibility Answer A, C, D, E, G are components that contribute to defining imageability. ARE 4.0 exam prep: PPP

See the answer »

Bolted connections

What is the minimum spacing of bolts specified by AISC? and preferred spacing? A. 1 1/4 times the diameter of the bolt; 2 times preferred B. 1 3/4 times the diameter of the bolt; 2 1/4 times preferred C. 2 1/3 times the diameter of the bolt; 2 2/3 times preferred D. 2 2/3 times the diameter of the bolt; 3 times preferred E. 3 times the diameter of the bolt; 3.25 times preferred

See the answer »

Thermal insulation

Which of the following types of thermal insulation can be blown into wall or ceiling cavities with least difficulty, but contains no adhesive properties? I. Cellulose II. Rock wool III. Vermiculite IV. Mineral wool V. Straw VI. Polyicynene Answer I, II and III are loose-fill types of insulation that can be blown. IV comes in batts, V can come in boards or bales, VI is a spray-foam that adheres to the cavity. ARE 4.0 exam prep: BS

See the answer »

ARE Study Review

Search This Blog