building loan agreement
Building Loan Agreement
An agreement by a bank or other financing entity to extend capital to build a new construction. For example, a building loan agreement may be signed so a developer can build a new house or neighborhood. The money is disbursed at intervals, rather than all at once, once the builder reaches certain, defined stages of construction.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
building loan agreement
A loan to finance construction.Funding is made either at preestablished stages or at completion, or upon submission and approval of invoices evidencing construction bills.
The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.