| The Handbook of Real Estate Lending Table of Contents Click on the book cover and get your copy today! |
| PART ONE Overview of Real Estate Loan Management CHAPTER 1 Critical Factors That Make Real Estate Loan Analysis Difficult Current Trends The Possible Return of Bad Real Estate Loans The Old System Some Phases of Real Estate Development Have More Risk than Others The Process Flow of Real Estate Lending Tends to Be Error Prone The Difficulty of Focusing on the Right Information The Difficulties in Determine the Worst-Case Scenario The Problem of Communicating Information about Complex Loans Real Estate Loan Decision Making An Overview of the Lending Solutions Decision Support Program Summary |
|
|
CHAPTER 2 Traditional Lender Analysis of Real Estate Loans Overview Synopsis of the Regulation Guidelines for Real Estate Lending Introduction to Real Estate Loan Underwriting Analysis Summary |
|
|
CHAPTER 3 Lender Evaluation of Property Appraisals Overview The Real Estate Market versus Investment Value Profile of a Property Appraisal How Appraisers Approach Property Valuations The Cost Approach to Property Valuation The Market Approach to Property Valuation The Income Capitalization Approach to Property Valuation Reconciliation of the Three Approaches for the Final Value Summary |
|
|
CHAPTER 4 Standard Construction Project Analysis Overview Cost Drivers of Construction Loans Recasting, Construction Cost Breakdowns and Cashflow Projections How Appraisals Assist Lenders in Project Analysis Developing Reliable Cashflow Statements and Passing the Liquidity Test Determining Project Solvency Limitations of the Capitalization Rate Determining the Appropriate Loan Amount and Breakeven Analysis Breakeven Analysis and Forecasts of Project Cashflows Summary |
|
|
CHAPTER 5 Technical Analysis of Permanent Project Financing Overview
Forecast of Project Cashflow Amounts of Principal and Interest Required Forecast of Sales Proceeds
Summary |
|
|
CHAPTER 6 Lender's Tenant Analysis Overview Ratio Analysis
Cashflow Analysis Analyzing the Statement of Cashflow Summary |
|
| Back
to Top
PART TWO Identifying Real Estate Loan Threats CHAPTER 7 How a Decision Support Program Can Increase Profits Overview Key Decisions for the Creation and Ownership of Real Estate Assets Key Decision-Makers in the Real Estate Industry Sources of Real Estate Risk Real Estate Risk Control Risk versus Uncertainty The Hidden Costs of Troubled Real Estate Loans How Risk Perception Limits Real Estate Lenders Why Use Risk Management in a Decision Support Program The Rewards of Using a Decision Support Program The Development of a Decision-Making Framework Establishing Default Probabilities for Real Estate Loans The Lending Solutions Decision Support Model Summary |
|
|
CHAPTER 8 Risks In Borrower Quality Overview Identifying Threats to Borrower Quality The Importance of Current Financial Statements Borrower Financial Documentation Required The Adequacy and Quality of the Financial Statements Financial Statement Analysis Ratio Analysis of Personal Financial Statements The Balance Sheet Using the Balance Sheet to Determine the Base Credit Level Comparing, the Tax Return and Income Statement Developing a Borrower's Statements of Cashflows from the Financial Statement Developing a Borrower's Statement of Cashflows from the Tax Return Examining, the Property Schedule Use of Credit Reports to Determine Borrower Quality The Potential lmpact of a Loan Extension on Borrower Cashflow Potential Continent Liabilities, Bankruptcy, and Litigation Summary |
|
|
CHAPTER 9 Risks in Real Estate Loan Quality Overview Alternative Cash Sources for Loan Repayment The Reliability of Project Cashflow Projections Setting the Correct Loan Amount Lender Analysis of the Land Costs to Avoid Potential Loan Default Analysis of Land and Development Costs to Avoid Cost Overruns Ascertaining That Hard Costs Are Sufficient for Project Completion Correctly Pricing the Loan to Reduce Loan Threats Using Stipulations in the Loan Agreement to Reduce Risks The Importance of Clearly Defined Lending Terms Components of Executive Loan Summaries Threats to Loan Quality during the Loan Term Summary |
|
|
CHAPTER 10 Risks in Construction Performance Overview The Lender's Role and Environmental Hazards for Property Held as Security Identifying Environmental Hazards Identifying Construction Risks Construction Risk Exposure and Insurance Using Contractor Information to Identify Loan Threats During the Construction Phase, Time Is Money How Construction Delays Threaten Loan Quality The importance of identifying What is "Late" Construction Scheduling Errors and the Construction Loan The Impact of Procurement Delays The Threat of Poor Quality and inadequate Work How Reliable Is the Construction Budget? Construction Cost Overruns Construction Warning Signs How the Lack of Maintenance Affects the Project Summary |
|
|
CHAPTER 11 Risks in Project Management Overview Construction's Role in the Real Estate Cycle The "Stickiness" of Some Real Estate Cycles When to Start Marketing, and Marketing Reposition Does the Project Miss the Target Market? The Project and Its Relationship to the Competition How an Incorrect Pricing Schedule Can Affect the Loan The Threat of Unrealistic Absorption Periods and Capture Rates How an lnept Marketing Team Threatens the Loan The Threat of the Too Small Marketing Budget When Vacancy Rates Exceed Expectations Monitoring the Marketing, Program The Influence of the Physical Characteristics on Rental Rates Summary |
|
|
PART THREE A Quantitative Approach to Assessing Loan Quality CHAPTER 12 Developing a Decision Support Program Overview The Purpose of a Decision Support Program The Steps in Developing a Flexible Real Estate Loan Decision Support Program The Quantitative Assessment of Real Estate Loan Quality Data Capture for the Decision Support Program Summary
CHAPTER 13 How to Demonstrate That Loan Quality Overview Demonstrating Real Estate Loan Quality The Basics of Risk Factor Analysis How Risk Factor Scores Compare to Industry Standards Developing, an Expert Questionnaire for Real Estate Loans Questioning Techniques Selecting the Appropriate Wording for the Questions Designing the Questionnaire Sequencing Questions Pre-testing the Questionnaire Identifying the Risk Factors to Be Used in the Questionnaire The Interrelationship of the Questionnaire and the Risk Assessment Model Summary |
|
|
CHAPTER 14 How to Score a Real Estate Loan: A Case Study Overview Background of the Fairmont Development Case Introduction to the Fairmont Development Case How to Complete the Real Estate Loan Questionnaire How to Calculate Risk Factor Scores for the Real Estate Loan Questionnaire Questions about the Loan Application Summary |
|
|
CHAPTER 15 Creating A Database for Loan Assessment Reports Overview Knowledge Acquisition for a Real Estate Loan Business Rules Database Creating a Knowledge-Based Decision Support System About the Real Estate Loan Business Rules Library Introduction to the Loan Assessment Report The Usefulness of Decision Analysis Approaches in Practical Decision Making Resistance to Implementing a New Decision-Making, Process Summary |
|
|
CHAPTER 16 How to Forecast Loan Performance Overview Data Sources for Predictions Forecasting Loan Risk Using Least Squares Regression Selecting the Correct Least Squares Regression Model The Limitations of Using Least Squares Regression to Predict Loan Behavior Forecast of Loan Performance for Fairmont Development: A Case Study Using Comparative and Trend Analysis to Forecast Loan Performance Summary |
|
|
PART FOUR Suggested Workout Strategies and Procedures CHAPTER 17 Pre-modification Issues and Strategies Overview Pre-modification Issues
Abandonment Deed in Lieu of Foreclosure Credit Enhancements Endorsements and Guarantees The Priority and the impact of Liens Summary |
|
|
CHAPTER 18 Loan Modifications and Workout Strategies Overview Modifications to Assist the Troubled Borrower Modifications Using (Debt-Equity Swaps to Assist the Borrower) Modifications Requiring Additional Collateral, Cross-Collateralization, Or Default Provisions Modifications to Subordinate Borrower Profits Modification of the Borrower's Guaranties Modifications the Limit the Project's Scope Automatic Transfer Modifications Improving the Lender's Position Lender Recovery Sources after Default How Borrowers May View Loan Workouts Pre-workout Agreements Borrowers Concessions before Workout Negotiations Elements of a Real Estate Loan Workout Developing a Workout Proposal The Effectiveness of Forbearance Agreements Advantages of Workouts with the Existing Borrower Tactics for Borrowers Who Cannot Keep Debt Service Current Strategies for Projects That Do Not Perform as Expected Multiple Lender Workouts When to Present the Workout Proposal Why Some Workout Plans Fail Summary |
|
|
CHAPTER 19 Foreclosure, Bankruptcy, and REOs Overview Overview of Foreclosure and Redemption Foreclosure versus Deed in Lieu of Foreclosure Lender Pre-foreclosure rights Overview of Bankruptcy How Borrower Bankruptcy Affects the Foreclosure Process How Lenders Can Claim Relief from Automatic Stay Provisions Bankruptcy and Tenant Leases Lender Workouts and Borrower Bankruptcy Lender Rights when Bankruptcy is Filed after Foreclosure Incomplete REO Projects and the Lender Completion of the REO Project by a Third Party Legal Problems with Loan Modifications Business and Management Problems with Loan Workouts Summary |
|
|
CHAPTER 20 A New Approach To Problem Loan Reports Overview How to Use the Lending Solutions Approach to Problem Loan Reports Something New for Problem Loan Reports Showing Management Focus and Control of Troubled Loans Summary |
|
|
CHAPTER 21 How You Can Tell If the Program Is Working for You Overview Is the Program Working? Return on Investment The Test Work Plan Data Analysis Summary |
|
|
INDEX
|
 |
Click Here! Order Your Copy Today! |