Lloyd Blenman is building a shopping center in Charlotte and needs to get a loan until the shopping center is constructed and he can get a mortgage on the property.What type of loan does he need?

Question

Quizplus · Accepted Answer

Interim construction financing is a type of short-term loan that is used to fund the construction of a property until a permanent mortgage on the property can be obtained. This type of loan is designed specifically for builders and developers who need funding to cover the costs of construction and other expenses associated with the project. Self-liquidating inventory loans are used to finance inventory purchases that will be sold relatively quickly, working capital loans are used to fund daily operations, security dealer financing is used to finance securities dealers, and retailer and equipment financing is used to finance equipment purchases for retailers.

Lloyd Blenman Is Building a Shopping Center in Charlotte and Needs