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Opinion: More financing options for ADUs are needed

Housing Wire

A recent survey by Villa noted that some ~60% of rental tenants said that living in an ADU has allowed them to live in a neighborhood they would not otherwise be able to afford — that’s a big deal. These will help on the margin, but we still need smart lenders to help create even more robust financing options for ADUs.

Finance 477
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Eleven Types of Risk in Commercial Real Estate

Property Metrics

Similarly, leased property includes a risk that tenants will not be able to make timely lease payments as expected. Late payments can create cash flow problems for the property owner, but the situation can be worse if the tenant goes out of business and moves out of the space. Inflation Risk. Interest Rate Risk.

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Helping Lenders Navigate the Commercial Real Estate Appraisal Process

Simonson Real Estate

In 2022, Simonson Appraisals completed a steady stream of financing assignments with planned new construction or significant proposed renovations. On several occasions, we were presented information about construction or renovation plans well after the initial assignment was started.

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Navigating the Appraisal Process – What You Need to Know

Simonson Real Estate

The understanding here is the tenants could vacate and a more reliable value is provided by the fee simple analysis based on market rents. Examples: A building owner has a single lease or multiple leases with tenants. New construction or planned renovations – Actual construction cost statements, plans, material specifications, etc.

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2024 USPAP Changes Clarify Nondiscrimination

Appraisal Today

The Office of Inspector General found in a recent audit that the Federal Housing Finance Agency did not adequately document desktop appraisal reports. According to the complaint, Horton is Black and the owner of a multifamily property in Ohio that is fully occupied by Black tenants who are on Section 8. Between Oct.

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Appraising Industrial and Flex Buildings: What Info Do You Need?

McKissock

Why might you be engaged to appraise a single or multi-tenant industrial or flex style office building? To aid the financing of an existing or proposed building. To examine the feasibility of renovating, expanding or repositioning an existing building. Copies or outlines of any leasing that has been obtained pre-construction.

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Yield on Cost: A Beginner’s Guide

Property Metrics

The development spread tells you how much additional return you are earning in exchange for taking on all of the risk of construction and development. Finally, we’ll take a look at how to calculate the yield on cost for specific construction or renovation projects. Yield on Cost Calculation: Development Example.