[dwater]

The bank makes a loan based on what they think is likely to happen in the future, and you the borrow can influence that. You can say, I'm going to buy this commercial building in the highly desirable neighborhood, which has seen continuous growth for the past 10 years, and it will continue to grow for the next 10 years, so I can charge a rent of $X, which will support a loan payment of $Y, so you can safely give me $Y.

The problem arises when predictions about the future don't come true. Like a pandemic lowers the value of living in a city, so the amount of rent you can charge goes down. Do you admit that to the bank and let them change the terms of the loan (or have them foreclose), or do you pretend everything is fine, keep your asking rent high, and hope things turn around before the bank calls you?