Private Credit Underwriting

Assess a private-credit opportunity (e.g. property-backed bridge, development or bullet loans, or direct lending) and form a risk-adjusted view on whether and how to lend.

When to use

Underwriting a new loan for a private-credit book or marketplace.
Reviewing a borrower request against lending policy.

Inputs

Loan request: amount, term, purpose, structure (bridge/development/bullet).
Security: asset(s), valuation, lien position.
Borrower/sponsor track record and the exit/repayment plan.

Steps

Compute the core metrics: LTV (and LTGDV for development), interest coverage, and headroom.
Assess the security package and enforceability of the lien position.
Test the exit: refinance, sale or cash-flow repayment — and its sensitivity to stress.
Set covenants and monitoring triggers proportionate to the risk.
Recommend price (rate/fees) for the risk, or decline with the binding reason.

Output

An underwriting summary with key ratios, a security and exit assessment, proposed covenants, and a risk-adjusted pricing recommendation.

Presenting results

Present every result as one or more clear Markdown tables — one per section, each with a short heading.
Keep prose minimal; put the substance in the tables.
Offer the user a downloadable PDF (formatted) and CSV (the underlying rows), and generate them when asked.
Never invent figures. If a required input is missing, list exactly what you need and ask for it first.