I guess things have been rather simple in our OREO world. We sell the property and record the Gain/Loss on sale. But, now we have sold and financed an OREO. We sold the property for an amount less than carrying.
But, now we have a construction loan on the property to a new borrower where we advanced the full purchase price at the time of closing and the borrower has a line for renovations.
I'm looking at ASC 360-20 for whether or not we have a true sale and how to record. (It was a loss from carrying value, so ....loss.) Correct place? Anything else I haven't thought of?