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Commercial Construction Lending

In this webinar, learn why commercial construction loans require different policies and processes than residential construction loans, and how to understand and mitigate commercial construction loan risk.

OnDemand
Recorded Monday,
March 11th, 2024
Presented by Richard Hamm
2h total length
$299.00 or 1 Token

Includes: 30 Days OnDemand Playback, Presenter Materials and Handouts

  • Commercial/Business Lending
  • Lending
  • Mortgage Lending
  • Branch Manager
  • Commercial Lender
  • Credit Analyst
  • Customer Service Representative
  • Loan Closer
  • Loan Operations Manager/Specialist
  • Mortgage Lender
  • Private Banker
  • Senior Management
  • Small Business Lender

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Construction loans for commercial real estate are a major part of commercial bank lending. Many community banks attempt to use versions of their residential formats and policies to administer commercial construction loans. However, this generally does not adequately control the situation due to several important differences between residential and commercial projects. This program provides an overview of the key steps involved in effectively administering commercial construction loans.

What You'll Learn

  • High Volatility CRE (HVCRE)
  • Issues with contractor qualifications, construction contracts, and budgets
  • Types of projects (full construction vs. renovation, etc.)
  • Title insurance - survey
  • Bonding
  • Funding and draw controls
  • Inspections
  • Lien waivers and lien updates
  • Monitoring usage of budget contingency
  • Line item transfers
  • Completion of the project and (if applicable) stabilization

Who Should Attend

Commercial lenders, credit analysts, and support staff that deal directly with commercial construction loans| mortgage bankers, private bankers, small business lenders, loan review specialists, special assets officers, lending managers and credit officers indirectly involved in the construction lending process.


Richard Hamm

Instructor Bio

Richard Hamm has been training bankers for 28 years, designing and delivering courses specializing in commercial lending and credit, including portfolio and risk management, commercial real estate (CRE) and appraisals, plus selling and negotiating skills, and director training. He also conducts eight senior lender forums on a periodic basis in multiple states and one series at the national level.

He is based in Huntsville, AL and has owned/operated Advantage Consulting & Training for 14 years, after a 22-year banking career including senior positions in lending and credit, plus president of a community bank through formation and acquisition of an existing bank. He has BS and MBA degrees from the University of Alabama.