Take-Out Loan

Take-Out Loan
A type of long-term financing (usually) on a piece of real property. Long-term take-out loans replace interim financing, such as a short-term construction loan. They are usually mortgages with fixed payments that are amortizing.

Take-out loans can be used for commercial real estate such as office buildings or other income-producing property. Zero-coupon mortgages are a new type of take-out loan. These loans require that interest and principal be paid in a single balloon payment at maturity.


Investment dictionary. . 2012.

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  • loan — money lent at interest.A lender makes a loan with the idea that it will be paid back as agreed and that interest will be paid for the use of the money. Glossary of Business Terms Temporary borrowing of a sum of money. If you borrow $1 million you …   Financial and business terms

  • take — take1 W1S1 [teık] v past tense took [tuk] past participle taken [ˈteıkən] ▬▬▬▬▬▬▬ 1¦(action)¦ 2¦(move)¦ 3¦(remove)¦ 4¦(time/money/effort etc)¦ 5¦(accept)¦ 6¦(hold something)¦ 7¦(travel)¦ 8 …   Dictionary of contemporary English

  • loan — loan1 W2S2 [ləun US loun] n [Date: 1100 1200; : Old Norse; Origin: lan] 1.) an amount of money that you borrow from a bank etc loan of ▪ a loan of £60,000 ▪ I had to take out a loan to buy my car. ▪ It ll be years before we ve paid off the loan …   Dictionary of contemporary English

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