Banks Bring New Savvy To High-Leverage Real Estate Loans

Law360, New York (April 30, 2013, 7:51 PM EDT) -- The recent spate of highly leveraged loans that banks are handing out to real estate owners and developers may hark back to the risky deals of the precrash era, but experts say most lenders have raised their standards and the properties and borrowers that are securing these loans now are much better bets.

Not every deal with an 80 percent loan-to-value ratio or a five-year interest-only provision is backed by the utmost underwriting standards, experts say, and a little suspicion is healthy after what the market's...
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