scholarly journals The Debtor’s Property Selling in the Cross-Border Insolvency Proceedings

2016 ◽  
Vol 13 (1) ◽  
pp. 76-87
Author(s):  
Daiga Sproge
Keyword(s):  
Real Estate ◽  
Comparative Method ◽  
The European Union ◽  
Insolvency Proceeding ◽  
The Real ◽  
The Real Estate ◽  
Cross Border ◽  
The Cross ◽  
Insolvency Proceedings ◽  
Descriptive Method

Abstract The title of this research is “The debtor’s property selling in the cross-border insolvency proceedings”. The insolvency proceeding gets the cross-border status also in case, if a debtor is an owner of the property outside of the main interests’ centre, namely, in another country. Therefore, there are many problematic cases when insolvency administrator (also called insolvency practitioner) defines the real estate in this other country and has to make a decision concerning the methods of selling the real estate in accordance with the law of the Member State in which territory the insolvency proceedings have been started. At the same time, the administrator shall provide that the property is sold in particular with regard to procedures for the realization of assets defined in the legislation of that country, where such real estate has been located. The article’s aim is to give a view of the features of the sale of the property in the insolvency proceedings and to define the possible lack and improvements in the cross-border insolvency concerning the selling of a debtor’s property. The European Parliament and the Council of the European Union has adopted Regulation (EU) 2015/848 of 20 May 2015 on Insolvency proceedings, which shall apply from 26 June 2017, with some exceptions Despite the regulation of the cross-border insolvency has been improved, the procedure of the property disposal is still incomplete in the cross-border insolvency proceedings. Within the study the following research methods are applied: the analytical method, comparative method, sociological method and descriptive method. The predicted value of the research is theoretical and also practical. The research should be useful for the insolvency proceedings administrators, the companies and the banks, other experts involved in the cross-border insolvency proceedings, as well as for students to improve their theoretical knowledge about the cross-border insolvency.

scholarly journals Realistic Evaluation of the Ratio: Loan-To-value – The Key to Minimising the Credit Risk

2016 ◽  
Vol 54 (3) ◽  
pp. 449-468 ◽  
Author(s):  
Duško Ranisavljević ◽  
Miroljub Hadžić
Keyword(s):  
Real Estate ◽  
Credit Risk ◽  
Comparative Method ◽  
Interest Rate Risk ◽  
Bank Loans ◽  
The Real ◽  
The Real Estate ◽  
Loan Approval ◽  
The Interest Rate

AbstractAs a rule, long-term bank loans entail solid security - a mortgage, regardless of their purpose. The mortgaged property has its specific market value during the loan approval period but during the repayment period, the value of the real estate varies. This is the reason why the initially specified indicator of the coverage of loans with the value of the mortgage - the LTV ratio changes, which in turn increases the risk of loan repayment. The aim of this paper is to draw attention to the necessity of establishing adequate initial LTV ratios (together with other important ratios). This would help nullify the risk of any variations in real estate prices, the loan currency risk, the interest rate risk, as well as the risk of an increase in bank's claims because of a long foreclosure process. The paper analyses effects of changes in LTV ratios caused by varying circumstances using the case study method. The comparative method analyses the changing trends of data on the LTV ratios for the already approved loans over a seven-year period by comparing the flow of the loan capital sum with the real value of the mortgage for three types of loans. The conclusion reached is that commercial banks should establish the initial LTV ratio for various long-term loan products and thus prevent its rise. Banks should do this by taking into account all the factors that cause the ratio’s increase, and thus give preference to the reduction of the credit risk and not the attractiveness and accessibility of loan products.

scholarly journals AN ANALYSIS OF DWELLING MARKET IN VILNIUS, LITHUANIA

2007 ◽  
Vol 11 (4) ◽  
pp. 243-262 ◽  
Author(s):  
Gintautas Ambrasas ◽  
Danielius Stankevičius
Keyword(s):  
European Union ◽  
Real Estate ◽  
Real Estate Market ◽  
The European Union ◽  
The Real ◽  
The Real Estate ◽  
Investment Projects ◽  
Eu Member States ◽  
The Real Estate Market ◽  
Real Estate Developers

The current situation in the real estate market in Lithuania is favourable for real estate developers. Dwelling prices in Vilnius are much lower than those in other EU member‐states. However, the rate of their increase is one of the highest in the European Union. At the end of 2003, one of the causes of the purchasing boom was the anticipated rise in real estate prices, when Lithuania was gradually integrating into the European Union. The growing income of the real estate sector and high profit attracted more and more companies to real estate market. But the situation in the real estate market has changed. Therefore, to protect the investments in real estate, customers should carefully select the investment projects, paying special attention to reliability and competence of project developers. The analysis of financial indicators of six specially selected project developers made by the authors allowed them to state that not all real estate developers in the market are reliable and able to satisfy liability claims because they may face solvency problems. In some cases, indicators even warn about a threat of bankruptcy for a company. In addition to objective factors influencing the market, such as the conditions of crediting, the economic development of the state, standard of living of the population, migration, etc., some negative effects play an important role in the process of price rising. Authors analyzed the difference in price between the cheapest and most expensive dwellings in different segments of real estate market in Vilnius, Lithuania. Būsto rinkos analizė Vilniuje Santrauka Dabartine situacija nekilnojamojo turto rinkoje yra palanki nekilnojamojo turto įmonėms ‐ nekilnojamojo turto rinkos dalyviams. Būsto kainos Vilniuje yra gerokai žemesnes nei analogiško būsto kainos senosiose Europos Sąjungosšalyse narėse, o pastaraisiais metais kainų augimas ‐ vienas sparčiausiu lyginant su ES. 2003 m. kainų augimo bumas netgi buvo siejamas su įstojimo i Europos Sąjungalūkesčiais. Augančios nekilnojamojo turto rinkos pajamos ir didelis pelnas I nekilnojamojo turto rinka pritraukia vis daugiau nauju įmonių. Kad apsaugotu savo investicijas Inekilnojamąjį turtą, pirkėjai turi atidžiai rinktis investicinius projektus, ypatinga dėmesį skirdami projekto platintojukompetencijai. Autorių atlikta sesių pasirinktu įmonių, investuojančiu I Vilniaus nekilnojamojo turto rinka, lyginimas leidžia teigti, kad toli gražu ne visos analizuotos įmones pajėgios įvykdyti savo prisiimtus sutartinius įsipareigojimus. Atskiri rodikliai tam tikra prasme gali byloti ir apie įmones bankroto pavojų. Be objektyviu veiksniu, darančiu įtaka nekilnojamojo turto rinkai (tokiu kaip kreditavimo sąlygos, šalies ekonomikos plėtra, visuomenes gyvenimo būdo standartai, migracija ir pan.), įvairus nepalankūs veiksniai taip pat daro nemaža įtakakainų augimui rinkoje, todėl autoriai analizuoja skirtingu būsto segmentu kainų skirtumus Vilniaus nekilnojamojo turto rinkoje, jų kitimui darančius įtaka veiksnius ir tendencijas.

scholarly journals GLOBAL FACTORS THAT AFFECT THE REAL ESTATE MARKETS IN THE EU / GLOBALIZACIJOS PROCESŲ ĮTAKA EUROPOS SĄJUNGOS NEKILNOJAMOJO TURTO RINKOMS

2016 ◽  
Vol 8 (2) ◽  
pp. 221-229
Author(s):  
Povilas Švogžlys ◽  
Eugenijus Chlivickas
Keyword(s):  
Real Estate ◽  
Real Estate Market ◽  
The European Union ◽  
Real Estate Markets ◽  
The Real ◽  
The Real Estate ◽  
The Real Estate Market ◽  
Current Events ◽  
Main Factors ◽  
The Eu

The place, neighbourhood, infrastructure, and apartment plan are the main factors which have an influence on price for the buyers, sellers, investors, or brokers participating in the buying and selling processes of real estate. Participants of the process forget frequently that there are more crucial factors which can affect not only the prices of property, but the prices of real estate in the whole region as well in the future. The article uses benchmarking and discuss the main external factors which affect the real estate market in the European Union, the current events and the proposals are presented and the specific conclusions are identified. Pirkėjai, pardavėjai, investuotojai ar tarpininkai, dalyvaujantys nekilnojamojo turto pirkimo-pardavimo procesuose, esminiais faktoriais, veikiančiais kainą, dažniausiai laiko vietą, kaimynystę, infrastruktūrą bei buto planą. Dažnas proceso dalyvis užmiršta, jog yra nemažai esminių veiksnių, kurie ateityje gali nulemti ne tik būsto, bet ir viso regiono nekilnojamojo turto kainas. Straipsnyje pasitelkiant lyginamąją analizę yra aptariami pagrindiniai nekilnojamojo turto rinką visoje Europos Sąjungoje veikiantys išoriniai faktoriai, šių dienų aktualijos, pateikiami siūlymai bei iškeliamos konkrečios išvados.

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