You have the ability to run stress tests in each deal to identify areas of heightened risk. Stress tests are important because they can help you anticipate how well or poorly a loan will perform in a financial crisis.
How to Use:
In the Deal Stress section of Blooma, you can adjust revenue, expenses, cap rate, and vacancy to analyze the affect it has on the DSCR, Debt Yield and LTV of the loan. In this example you can see what happens when revenue is down 5%, expenses are up 10%, the cap rate is adjusted by 2%, and vacancy is up 5% (the baseline shows where your deal is currently at). The best part is, it’s completely customizable!