Collateral Value or Cash Flow?
4.50
22 Reviews
Participants examine primary and secondary cash sources for debt service in income properties, evaluating the benefits, limitations, and necessary analytical focus for each.
Options | |
| Self-Study | Add to Cart |
Certificate
0.5 Credit
Cost
1 hr.
Duration
n/a
Prep Time
1
Quiz
Overview
In this short self-study course, participants review the more likely cash sources of interest-bearing debt service for an income producing property and examine the benefits and limitations of property cash flow relative to the benefits and limitations of secondary cash sources of debt service. They do so by reviewing which cash sources of debt service require the greatest analytical attention and the reasons for such attention.
Who Should Take This Course
Analysts and lenders interested in exploring which of the cash sources of debt service for an income producing property should command the most focused and thorough analytical attention.
Prerequisites
General familiarity with an operating statement for an income producing property.
Objectives
By the end of the course, participants will be able to:
- Explain the reasons for focusing initial and predominant attention to property cash flow rather than to secondary cash sources of interest-bearing debt service.
- Identify and explain the difficulties in estimating likely guarantor cash support for interest-bearing debt service at the point in time where the primary cash source of interest-bearing debt service no longer suffices.
- Identify and explain the difficulties in estimating likely cash liquidation value of business collateral, i.e., cash from the sale of an income producing property, at the point in time where guarantor cash support is no longer available or the primary cash source of interest-bearing debt service no longer suffices.
Materials(access provided with registration)
- Credit Refresher on Collateral Value or Cash Flow?
- Online Quick Hit Review Quiz
- Webinar Poll Solutions
- Exercise Solutions
