Dan, if we take the property they are going to sell as collateral and say that is our method of repayment on this loan, wouldn't that qualify as using the asset to calculate ATR?
I would have to assume so.
My point though was your comment said under ATR requirements you could not take the property as collateral. That is not a true statement. ATR requirements do not prevent you from taking the property as collateral, you just can't use it to qualify the ATR requirements if you do.
The opinions expressed are mine and they are not to be taken as legal advice.