Foreclosure/Deed in Lieu of Foreclosure
CB&H Launches Distressed Asset Recovery Services
The present volume of other real estate owned (OREO) and non-performing assets (NPA) presents an extraordinary challenge to lenders – and traditional solutions do not always apply. Foreclosure actions and online marketplaces often result in inadequate auction bids. Banks with OREO and NPA are often asking more than buyers are willing to pay. However, they often need to maintain their asking price in order to avoid realizing additional REO and loan losses and negatively affecting their overall capital. Attempts to sell the property can often result in additional costs to the bank from removing liens and other expenses. Real estate. Read More.
ULI Panel: Tough Times Still Ahead for Commercial Real Estate
As reported by Richmond BizSense , the Urban Land Institute of Richmond conducted a seminar for more than 100 real estate and banking professionals last week to discuss the state of commercial real estate lending. Panelist Bob O’Rourke, managing director of real estate for the Guardian Life Insurance Company, was quoted as saying that “commercial real estate has not begun to feel the pain,” citing that the demand for commercial space will continue to decline as long as unemployment continues to rise. The panel went on to discuss the disappearance of loans secured by commercial mortgage backed securities (CMBS): For developers with loans coming due, refinancing will. Read More.
Tax Ramifications of Debt Restructuring for Residential Construction Loans
Given the current state of the housing market, many homebuilders and land developers are finding themselves unable to sell homes and lots as loans mature and interest reserves run out. Add to the slower buyer traffic the mounting costs of carrying expenses, such as taxes, utilities, HOA dues, landscaping and marketing, and it’s no surprise that the NAHB/Wells Fargo index of builder’s confidence in the new homes market recently hit its lowest level in 20 years. As some builders and developers begin to consider loan workout options with their lenders in the interest of restructuring their debts, understanding the tax. Read More.