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The income from these highly leveraged properties is expected to fall short of the robust projections of rental growth that were made when the buildings changed hands.
Highly leveraged properties are some of the higher risk properties.
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Over the last 15 years, this has driven a boom in highly leveraged property investment.
Two years ago, after an 11-2 season that for a time landed Rutgers in the top 20, if not in a B.C.S. bowl, Schiano was suddenly a hot leveraged property.
The leveraged property must remain a primary residence, though, and only single-family homes qualify — as well as buildings with one to four units, provided at least one of the units is occupied by the borrower.
Their efforts could easily generate the desirable traits the pattern player hopes to get from beleaguered homeowners, who are likely to run down the leveraged property in their possession, knowing that lenders will bear the financial loss.
You don't want to own any over-leveraged properties because fixed charges (interest) coverage rapidly melts down in a deep recession.
In a few years Miami has gone from the most- to the least-leveraged property market in America.
Many expected their debt-leveraged property empire to crash during the financial crisis, but the collapse in interest rates has left them making more than ever.
But that said, B&N could easily have blown it rather than leveraged their properties correctly — resulting in a trouncing by Kindle, iBookstore, and what have you.
"Banks are leveraged and property is leveraged, so there is double leverage," says Brian Robertson, who runs HSBC's British and European operations and used to be the bank's chief risk officer.
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