Critically assess the extent to which changes in lending conditions have impacted real estate borrowing costs.
Your findings should refer to the theory, also including analysis of recent changes in lending conditions and their impact upon real estate borrowing costs.
Covering:
1.Changes in lending conditions:
Changes in lending criteria, LTVs and lending rates.
2.Capital structure of real estate companies:
Capital structure of real estate companies, debt tax relief and its impact upon capital budgeting decisions.
3.Cost of equity and debt:
CAPM: Cost of capital and availability of credits.1.Changes in lending conditions:
Changes in lending criteria, LTVs and lending rates.
2.Capital structure of real estate companies:
Capital structure of real estate companies, debt tax relief and its impact upon capital budgeting decisions.
3.Cost of equity and debt:
CAPM: Cost of capital and availability of credits.