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Real estate owners and investors use construction loans to develop and construct new improvements or to renovate existing ones. A construction loan requires hands-on administration by the lender. For the borrower, construction loans present legal, practical, and operational variables that are not present in other types of financing. Attorneys for both parties should be aware of the legal and practical issues presented by construction loans. Look here for guidance on the construction loan process in California and see Related Content below for transactions in other jurisdictions.
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