NU Online News Service, Jan. 21, 12:57 p.m. – Precept Corp., Oakland, Calif., a commercial mortgage broker, has released The Handbook of First Mortgage Underwriting: A Standardized Method for the Commercial Real Estate Industry.
Joseph Heil, chief operating officer at Precept, is the author, and the McGraw-Hill Companies Inc., New York, is the publisher.
The Heil book describes some of the methods Precept has been using to move the burden of scrutinizing commercial mortgage deals to its own brokerage-based underwriting team, away from the underwriting departments at life insurance companies and other lenders.
Precept says it underwrites a mortgage deal using a standardized underwriting system, then puts together a package of appraisal information, environmental information and other relevant information.
Precept auctions the deal by submitting the package to qualified lenders that have expressed an interest in bidding for the business.
Lenders still have to do due diligence when they decide to lend, but the bidding packages can save them from wasting resources on underwriting deals that turn out not to meet their needs, Precept says.