loan commitment

loan commitment
n.
A promise made by a bank or other lending institution to a prospective purchaser of real estate that it will lend him or her a specified sum at a specified interest rate to purchase a particular property if it is done within a specified period of time.

The Essential Law Dictionary. — Sphinx Publishing, An imprint of Sourcebooks, Inc. . 2008.


loan commitment
Commitment to a borrower by a lending institution that it will loan a specific amount at a certain rate on a particular piece of real estate. Such commitment is usually limited to a specified time period (e.g., four months), which is commonly based on the estimated time that it will take the borrower to construct or purchase the home contemplated by the loan.

Dictionary from West's Encyclopedia of American Law. 2005.


loan commitment
Commitment to a borrower by a lending institution that it will loan a specific amount at a certain rate on a particular piece of real estate. Such commitment is usually limited to a specified time period (e.g., four months), which is commonly based on the estimated time that it will take the borrower to construct or purchase the home contemplated by the loan.

Short Dictionary of (mostly American) Legal Terms and Abbreviations.

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