Bank Analysis School

Internal Use Only

What do you think is the riskiest loan category? (Zoom Poll)

Internal Use Only

Construction Loans have the Highest Historical Loss Rate

Average Net Loss as Percent of Loan Balances (2007-2022)

1.5%

1.36%

1.0%

0.68% 0.63%

0.5%

0.30% 0.28% 0.23%

0.13%

Construction Commercial

1-4 Family Non-Farm Non Res.

Multifamily Ag Production Farmland