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Going to Extremes

Appraisal Buzz

Add to this rising replacement costs and legal fees, increased government regulation, inflation, and fraud, and companies are bleeding about a billion dollars every three weeks. Areas more exposed to such risk are likely to see increased volatility in valuations.” The post Going to Extremes appeared first on Appraisal Buzz.

HOA 370
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Magistrate judge recommends $46M in restitution from former Live Well CEO

Housing Wire

Prosecutors for the government initially argued that he should owe $69 million to the companies that lent to Live Well and the defunct lender’s estate based on — what was determined in court to be — inflated valuations of interest-only bonds backed by Home Equity Conversion Mortgages (HECMs).

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Lenders must address repurchase risk before they go bust

Housing Wire

For example, reps and warrants on home value are waived for certain loans when the appraised value closely matches the estimate produced by the GSEs automated valuation model (AVM). Loan buybacks also harm investors by introducing volatility and diminishing returns.

Investors 369
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Commercial Real Estate Investing: A Comprehensive Guide

Property Metrics

Key Investment Metrics in CRE In commercial real estate, certain metrics serve as the backbone of investment analysis , valuation, and risk management. NOI is foundational to valuation methods like Cap Rate and risk metrics like DSCR, making it one of the most critical metrics in commercial real estate analysis.