These are the loans in which:
Arrangement is usually called commitment When the structure is completed and put in service, the loan is paid off from the proceeds of the long term financing, whatever its source Proper controls would require the lender to obtain documentation for the disbursed portion of the construction loan and be assured that the cost of the structure to date is equivalent to the disbursed portion of the construction loan.
What are these?
A . Undeveloped Land Loans
B . Construction Loans
C . Development Loans
D . Residential Loans
Answer: D