New Mexico Real Estate







Home > Real Estate Resources > Real Estate Glossary > Definition of PURCHASE OF LAND, LEASEBACK AND LEASEHOLD MORTGAGES

PURCHASE OF LAND, LEASEBACK AND LEASEHOLD MORTGAGES



An arrangement whereby land is purchased by the lender and leased back to the developer with a mortgage negotiated on the resulting leasehold of the income property constructed. The lender receives an annual ground rent, plus a percentage of income from the property.








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