be most beneficial for the developer to bring the broker into the development process
during which of the following stages?
Land acquisition, development, and construction loans used by developers differ
significantly from the "permanent" mortgages that traditionally are used to finance the
purchase of commercial properties. All of the statements listed below are true regarding
land acquisition, development, and construction loans EXCEPT:
A. Developers can never be held personally liable for such loans
B. These loans have floating interest rates tied to short-term interest rate indices
C. These loans are interest-only loans.
D. These loans can be prepaid at any time without penalty.
A new residential development will face competition from other new developments,
other builders, and sales of existing homes. To determine if demand in that market
segment will be sufficient to justify proceeding with the project, a developer would be