What is EBC?
Effective borrowing cost: the borrower’s all-in IRR including points and third-party up-front costs. On the worked loan it is 6.36% held to maturity, 6.61% if prepaid at Year 5.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.