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Main Real Estate Terms hangout

hangout



remaining balance of a loan when the term of a loan is beyond the term of thelease. For example a lender offers a 30-year loan on property that is leased to Big Buy Foods for the next 25 years. In 25 years the loan balance will be $100,000, which is the hangout. The lender estimates that the land value in 25 years will greatly exceed $100,000, so concern for the hangout is minimized.

Dictionary of Real Estate Terms hangout

the remaining balance of a loan when thetermof the loan is beyond the term of alease.

Example: A lender offers a 30-year loan on property that is leased to Big Buy Foods for the next 25 years. In 25 years the loan balance will be $100,000, which is the hangout. The lender estimates that the land value in 25 years will greatly exceed $100,000, so concern for the hangout is minimized.



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hangout