Banking Glossary: Real Estate Finance explained
We demystify the world of real estate finance with our glossary of banking terms and jargon.
Real Estate Finance glossary terms
1. Real estate finance – relating to the various methods with which individuals can purchase a home, plot of land, or other types of property
2. Loan to value (LTV) – a comparison between the loan amount and the value of a property. This figure is usually written as a percentage
3. Residential investment – an investment in developing or buying property which can then be rented out or lived in permanently
4. Commercial investment – an investment in a business that generates a profit through the buying and selling of goods and/or services
5. Purpose Built Student Accommodation (PBSA) – accommodation built specifically for the use of students, typically at university in the form of student halls
6. Buy to let – when a property is bought specifically for the purposes of renting it out
7. Energy Performance Certificate (EPC) – a certificate which gives house buyers an indication of the energy efficiency of a property
8. Covenants – if there are covenants on a piece of land or a property, it means that there may be certain restrictions regarding what that land/property can be used for
9. Modern methods of construction(MMC) – innovative methods that are being adopted to build new homes. The intention is to speed up building processes and address the ever-growing shortage of traditional building skills
10. Co-working offices – shared office spaces that provide a great alternative for businesses who don’t want to incur high costs by renting their own larger office space
11. Co-living – a shared living space, providing good quality rental accommodation in cities designed to appeal to young professionals combining private space and communal living areas with flexible terms.
Get in touch to build, invest in or grow your real estate portfolio, or read our glossary of commercial banking terms.
Real Estate Finance
Our Real Estate Finance team offers solutions across a range of different asset classes within residential and commercial, investment and development.
Our Buy To Let investment property investment & lending team is here to advise you on a wide range of opportunities for individuals and businesses with complex corporate structures.
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