Patent ID: 8589282

Claim:
A method for determining a monetary value for a loan secured by real estate associated with an actual or potential security interest enforcement action, the method comprising: storing in a computer-readable medium a plurality of milestones associated with completion of the security interest enforcement action in a specified jurisdiction for the real estate securing the loan; determining, using one or more computer processors in communication with the computer-readable medium, from said plurality of milestones a total time projected for completing the security interest enforcement action by applying a stochastic model that accounts for the occurrence of one or more fixed-frequency events and one or more random-frequency events associated with completion of said plurality of milestones; determining estimated legal costs associated with prosecuting said plurality of milestones; and determining a monetary value for the loan, using said one or more computer processors, comprising adding to said estimated legal costs a first estimated time/carry cost determined by applying an appropriate interest rate to said total time projected for completing the potential security interest enforcement action.