As a financial institution that finances primarily real estate, a few years ago we set B2D targets using v 1.2 of the SDA Tool for Commercial Real Estate and Residential Mortgages.
We need to review our targets and ensure they align to a 1.5 pathway. We have been waiting for the updated 1.5D real estate tool to be finalized (it is currently being piloted along with the Buildings guidance). We could however use the general SDA tool target tool (version 2.2) which incudes 1.5D aligned building pathways.
Two questions: when will the updated real estate tool be released – worst case scenario? And, what are the key differences between the two tools that we should consider when deciding between the two options-- for example to the underlying assumption and scenarios used?
We see that the real estate tool has more functionality and granularity – such as ability to aggregate targets and to select Canadian pathways.