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Lenders Resource is dedicated to provide our lender partners with accurate and useful information/services that will be a productive tool in their daily activities.

Simons Informational Services

Determining the equity in the collateral is easy. The hardest part is to ascertain if the collateral has sufficient equity in it to post recoveries after determining what, if any, is the cost of possession, cost of maintaining the property (Property taxes, insurance, utilities, and others), and all the man hours conducting site visits, talking to brokers, and report writing. However, most importantly, the costs of funds of holding onto the property.

Simple step on determining your Protective Bid 

+Appraised Value
-Cost of Sale (Between 8% to 12%, depending on the type of property
-Senior Liens
-Delinquent Property Taxes
=Total Equity