Sentences with phrase «with junior liens»

The SBA describes the program thusly: «Typically, a 504 project includes a loan secured with a senior lien from a private - sector lender covering up to 50 percent of the project cost, a loan secured with a junior lien from the CDC (a 100 percent SBA - guaranteed debenture) covering up to 40 percent of the cost, and a contribution of at least 10 percent equity from the small business being helped.

Not exact matches

HELOCs and HELOANs are also called «second mortgages» because their liens are «junior» to the lien held by the lender with the first mortgage.

With today's real estate market still struggling to recover, this means that many people are able to remove junior liens on properties refinanced or purchased since 2004.

Tranches with a higher claim on underlying assets are safer than and senior to junior tranches with a second lien.

The hurdle with secondary liens is that lien priority requires that junior liens be paid prior to modifying the first mortgage.

The store's loan agreement with the senior lender may contain some hoops that must be jumped through before a lien can be given to a junior lender.

For larger deals, that may require multiple lenders, those who are agreeable to a junior lien position can be rewarded with higher interest rates.

Even junior liens with no equity (or low equity) can still be viable investments because the borrower usually has a vested interest in the property, and traditional equity may not always be the sole factor when it comes to remaining in the home.