Скачать или смотреть Loan Balance Property Value for Commercial Real Estate

Loan Balance/Property Value is calculated by:

Loan Balance
divide Projected Sale Value
equals the Loan Balance/Property Value

Considers:Sale Value and Loan Balance

Ignores:
Time Value of Money, Sale Proceeds, All Financing (Loans), Other Years NOI, All Taxes ... and a lot of other things

Why is Loan Balance/Property Value useful?

Loan Balance/Property Value is the Loan Repayment amount divided by the Sale Value (both measured at the beginning of the year). This ratio measures the margin of safety for the lender's principal. This can also be an important number if you are planning to refinance.

What is the Loan Balance/Property Value Sensitive to:

Sale Value and Loan Balance