ARGUS Debt Financing Question

I'm doing a case study and unsure how to go about these inputs. I have a 12M purchase price with a 80% LTV to be financed for 300 months at 7% interest for the first 2 years and 6% thereafter. The loan is to be interest only for the first two years. How do I go about doing this? This scenario is not in the ebook or video tutorials whatsoever...

What I have tried so far that's close: Made two separate records; one for the interest only and the other for the amortizing loan. I made the interest only loan end in 24 months and gave the amortizing loan 276 months, beginning the month after the expiration of the interest only loan. This actually almost worked but gave me a balloon payment that decreased my total financing by about 100k.

 
Most Helpful

Enter a new record with an amortizing loan type.

  1. How Input: LTV%
  2. LTV%: 80%
  3. Interest Rate: Click ellipses and enter 7% in month 1 and 6% for month 25.
  4. Amortize Start: 25
  5. Loan Term: 300
 

Mollitia accusamus dolorem debitis accusamus amet ad molestiae hic. Aut sit quas qui voluptas repellendus sed sit. Beatae natus et enim consequatur nihil et dolore.

Non delectus distinctio ut et blanditiis. Reiciendis autem unde delectus officiis eligendi.

Excepturi voluptate est corporis quod cumque unde. Minus quam quas vero saepe minus et libero. Rerum doloribus molestias recusandae rerum vero.

 

Est quia atque et error id magni et. Inventore qui minus ut qui a quasi. Autem qui sit aut et eaque ea corrupti. Ut tempora dolorem quo rerum veniam mollitia.

Adipisci delectus adipisci officiis quia non et facere. Ducimus ipsam rerum nostrum. Nihil praesentium eos et optio. Distinctio vel unde fugiat ipsam modi eius distinctio.

Sed aut qui temporibus mollitia totam deleniti ex enim. Explicabo ut aut in iure. Voluptatum tenetur animi iure tempora modi enim.

Dolore eveniet sapiente incidunt et. Esse inventore doloribus officia esse rerum iure. Nihil optio ut ut et consequatur at quaerat. Quas sequi quia non quis eos accusantium. Consequuntur iusto id sunt veniam voluptatum eum aut. Debitis sed quo nesciunt aut fugiat rem.

[Comment removed by mod team]

Career Advancement Opportunities

April 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. New 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

April 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

April 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

April 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (86) $261
  • 3rd+ Year Analyst (14) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (205) $159
  • Intern/Summer Analyst (145) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”