Portfolio Stress Test
Blooma offers stress testing of your entire portfolio! Navigate to the pipeline or portfolio view and click “Run Portfolio Stress Test” to select low, medium, high, or custom levels of potential stress on your list of Deals in Blooma. The stress test will utilize the Deals that are shown when you click 'Run Portfolio Stress Test” so make sure you are in the correct silo (Pipeline or Portfolio). Filter your results to run the stress test on your desired list of Deals!
Note: The time it takes to run the portfolio stress testing can vary depending on the number of deals you are testing.
Multi-Variable Stress Test Analysis
Blooma’s Multi-Variable Stress Test allows users to adjust Revenue, Expenses, Cap Rate, Vacancy and Interest Rate to understand the impact on LTV, Debt Yield, and DSCR. To access Blooma’s Multi-Variable Stress Test, navigate to the bottom of the Deal Page. You can edit what you see from here by selecting “Custom Stress Test” from the drop down menu, or select “View Complete Stress Test” to access all available options.
Once you’ve clicked “View Complete Stress Test” you can again select “Custom Stress Test” to edit Revenue, Expenses, Cap Rate, Vacancy, and Interest Rate.
Single-Variable Stress Test Analysis
Once you’ve clicked “View Complete Stress Test”, you will see the Multi-Variable Test as well as three Single-Variable Tests. The Single-Variable Stress Tests show how much property value, income, expenses, vacancy, and cap rate can change before the value in question reaches it’s breakpoint; either LTV, Debt Yield, or DSCR. There is a separate section and graph for all three. Click the pencil to edit your threshold values.
The breakpoint values display the amount the value in question can be altered before the deal breakpoint is reached for the metric in question
The graph displays each value and it’s effect on the metric when adjusted in 2.5% increments. It is also clearly shown where the breakpoint is reached (in red on the graph).
Deal Sizing Tool
The Deal Sizing tool allows you to quickly view the maximum loan amount for Deals in your pipeline based on adjustable metrics. Adjust your preferred Debt Yield, DSCR, LTV, Amortization Term, and Interest Rate to calculate the loan amount associated with each. To access the Deal Sizing functionality, navigate to the bottom of the Deal page and click the tab next to the Stress Test, or click the loan amount in the top right of the Deal page to open the modal. When you’ve entered your data or adjusted the sliding bars, click calculate and the system will show you a deal size for each metric.
Loan Pricing Options Tab
The Loan Pricing Options tab will help determine and visualize your loan metrics. Automatically see your Deal data populate in the table and edit the available fields to gain valuable insights into the calculated constraints of your loan.