An industrial property's first year annual NOI is projected to be $777,000, the property's acquisition cap...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
An industrial property's first year annual NOI is projected to be $777,000, the property's acquisition cap rate is 7.0%, and the lender's maximum LTV is 70% of the purchase price. What is the maximum loan amount that can be borrowed against the property? An industrial property's first year annual NOI is projected to be $777,000, the property's acquisition cap rate is 7.0%, the lender's maximum LTV is 70% of the purchase price, and the lender also requires an initial DSCR of 1.25 and an annual interest rate of 7.0% on a 25-year fully amortizing fixed rate mortgage loan that is payable. monthly. What is the maximum loan amount that can be borrowed against the property? If a lender wants to achieve an APR of approximately 7.0% on a 30- year fully amortizing fixed rate loan for $750,000 with a stated annual interest rate of 6.5%, how many points should the lender charge the borrower? An industrial property's first year annual NOI is projected to be $777,000, the property's acquisition cap rate is 7.0%, and the lender's maximum LTV is 70% of the purchase price. What is the maximum loan amount that can be borrowed against the property? An industrial property's first year annual NOI is projected to be $777,000, the property's acquisition cap rate is 7.0%, the lender's maximum LTV is 70% of the purchase price, and the lender also requires an initial DSCR of 1.25 and an annual interest rate of 7.0% on a 25-year fully amortizing fixed rate mortgage loan that is payable. monthly. What is the maximum loan amount that can be borrowed against the property? If a lender wants to achieve an APR of approximately 7.0% on a 30- year fully amortizing fixed rate loan for $750,000 with a stated annual interest rate of 6.5%, how many points should the lender charge the borrower?
Expert Answer:
Answer rating: 100% (QA)
To calculate the maximum loan amount that can be borrowed against the property we need to use the Lo... View the full answer
Related Book For
Managerial Accounting Creating Value in a Dynamic Business Environment
ISBN: 978-0078110917
9th edition
Authors: Ronald W. Hilton
Posted Date:
Students also viewed these finance questions
-
Let D= {(x, y): x + y < 1} C R and consider the Neumann BVP Au=0, (x,y) E D h, x + y = 1, where - Vu n denotes the normal derivative of u on OD, n is the unit normal vector to OD, and where h is a...
-
How do emergent structures, characterized by self-organizing principles and distributed decision-making authority, challenge traditional hierarchical models of organizational governance and redefine...
-
Ann wants to buy an office building which costs $1,000,000. She obtains a 30 year fully amortizing fixed rate mortgage with 80% LTV, an annual interest rate of 4%, with monthly compounding and...
-
Define and explain the Bioptic Telescope
-
Write Lewis structures for these compounds: (a) C 3 H 8 (b) C 2 H 2 (c) CH 3 N (d) NH 3 O
-
Discuss the key principles of law in relation to the due care required from an auditor that arose from the cases of Kingston Cotton Mill and London and General Bank.
-
Haupt Consulting, Inc., began operations and completed the following transactions during the first half of December: Requirements 1. Analyze the effects of Haupt Consultings transactions on the...
-
Stainless steel (AISI 304) ball bearings, which have uniformly been heated to 850C, are hardened by quenching them in an oil bath that is maintained at 40C. The ball diameter is 20 mm, and the...
-
4. Based on Table 2, which call option contract will have the highest premium? Table 2: Option Premium Option Strike Price A $40 B $42 C $44 If the option contract is a put option, which has the...
-
An FI has purchased a $200 million cap of 9 percent at a premium of 0.65 percent of face value. A $200 million floor of 4 percent is also available at a premium of 0.69 percent of face value. a. If...
-
In New Jersey Damages for wrongful death damages are explained: claimants are survivors of the decedent who have suffered financial loss due to the death of the decedent. pecuniary injuries or money...
-
What chief characteristics distinguish the military justice system under the Uniform Code of Military Justice from civilian criminal prosecutions?
-
What factors do you think a prosecutor should take into consideration in determining whether to prosecute an individual the police have arrested for possession of illegal drugs?
-
What are the arguments for and against allowing trial judges broad discretion in criminal sentencing?
-
To what extent does the U.S. Constitution protect the right to trial by jury in a criminal case?
-
Is there a justification for the broad discretion vested in a prosecutor?
-
There is an upcoming concert at 'Harmony Hall' in Melbourne. The venue's owners sell tickets for the concert at their ticket office. You visit the office to buy tickets. Flat on the office counter,...
-
Apply Jacobis method to the given system. Take the zero vector as the initial approximation and work with four-significant-digit accuracy until two successive iterates agree within 0.001 in each...
-
Sharpe Machining Company purchased industrial tools costing $100,000, which fall in the 3-year property class under MACRS. Required: 1. Prepare a schedule of depreciation deductions assuming: a. The...
-
Under what circumstances would it be appropriate to change the Waikiki Sands Hotel from a profit center to an investment center?
-
Refer to the data for High Country Department Stores' computerized checkout equipment decision given in Exhibit 16-11. Also refer to the net-present-value analysis presented in Exhibit 16-12....
-
Consider the binary variable version of the fixed effects model in Equation (10.11) except with an additional regressor, \(D 1_{i}\); that is, let \[ Y_{i t}=\beta_{0}+\beta_{1} X_{i t}+\gamma_{1} D...
-
Using the regression in Equation (10.11), what are the slope and intercept for a. Entity 1 in time period 1? b. Entity 1 in time period 3? c. Entity 3 in time period 1? d. Entity 3 in time period 3?...
-
Do the fixed effects regression assumptions in Key Concept 10.3 imply that \(\operatorname{cov}\left(\widetilde{v}_{i t}, \widetilde{v}_{i s} ight)=0\) for \(t eq s\) in Equation (10.28)? Explain....
Study smarter with the SolutionInn App