LoanStreet Inc.的动态

Underwriting Trends - LTVs, Cap Rates, Interest Rates, & Debt Yields compiled from the latest loan data on CRED iQ. Full Research Here: https://lnkd.in/euwcdiCS

Follow up from my information post, Monday gone on the bid-ask gap, narrowing via coming down, there is more positive news in the CRE market.?This is from my conversations with certain lenders I have had and CRE principals.?This is in regards to how the secure overnight financing rate (SOFR) is affecting deals. ? Like I mentioned earlier, SOFR is currently at 4.57% and deescalated from 5.35%.?That is a spread of 78 basis points (bps).?With talks I have had some lenders have told me that business has picked up from the the last 2 rate cuts.?Certain buying principals I have are now saying that while the financial projections on certain projects still maybe BARELY JUST penciling out especially when wanting a buffer for risk, these opportunistic/value add deals are making more sense. ? I have put a lot of emphasis on the 10 year Treasury and I will continue to.?This is for a long term range.?However, I think more attention and the index that is driving more investment sales trading now especially for opportunistic and value add types is SOFR.?It is the unrecognized hero that is now giving many sponsors hope of trading more which has started to happen. ? Currently, I have some deals that can pencil out better if rates continue to deescalate regarding SOFR.?Therefore, next week for FOMC, I hope there will continue to be another rate cut for the Fed Fund rate which will definitely and immediately benefit those borrowers/sponsors that are using loans that trade over SOFR aka bridge loans/construction loans etc. ? The 10 year treasury continuing to be in an elevated basis does have it's benefits in other matters.?As of me now writing this, it is 4.19%.?It is beneficial to distress/special situation note and REO buyers.?Many lenders/ and CRE sponsors holding notes that are still underwater and are having a challenge to recapitalize their debt via capital calls or inability to force appreciate assets will have to engage in discounted payoffs "haircuts" on notes and foreclosed deals.?As the need for lenders to regain liquidity for their balance sheet and their LPs demand their capital back, they will adjust their unrealistic pricing more to reality in 2025.??

Proud of Sana Deolekar for shedding light on a topic that affects so many borrowers and lenders. Her latest article breaks down the essentials of APR and the implications of a proposed 10% cap in a way that’s easy to understand. Take a look, and don’t forget to subscribe to her Substack for more insightful content!

In the last few years, investors, lenders, and brokers have all had to navigate the rising cost of borrowing. A key factor in this is swap rates, which are crucial in determining the amount of interest a lender charges for a loan. But how exactly are swap rates determined? And what factors influence their movements? This blog from the Market Financial Solutions team provides some clarity... https://lnkd.in/dteNMUb2

APRs (Annual Percentage Rates) are an important part of borrowing, but they’re not always easy to understand. In my latest article, I explain how APRs work, the differences between fixed and variable rates, and what a proposed 10% cap could mean for borrowers and lenders. If you’re interested in understanding these changes and their potential impact, I’d love for you to give it a read and share your thoughts. If you enjoyed this article and want to see more content like it, be sure to subscribe to my Substack!

Score ?1,500 for FREE!!! Ever feel like the stock market is a crazy rollercoaster you don't want to ride??? Same! But who says you can't grow your money without the risk? Here's the juicy part T-Bills are basically like low-risk loans you give to the government You lend them money for a short time, and they give you a fixed interest rate in return Plus ?? they're super safe (government-backed, hello!) ?? predictable (you know exactly how much you'll earn upfront) ??flexible (you can even sell them before they mature if needed) So, the real question is: Do you want a safe and chill way to grow your money for a short while? Is low risk more your style than high-flying returns? If you said YES (and who wouldn't?), then T-Bills could be your new BFF! P.S.?Speaking of perfect matches, did you see THE presentation? Pink, sparkly, and packed with info! P.P.S.?While you can't get ?1,500 for free exactly, imagine snagging a ?50,000 T-Bill for just ?48,500!?That's like getting a ?1,500 discount just for being a good lender?THAT'S how you can kind of score ?1,500 for free!

Your personal credit score is your currency to acquire more currency. It's like a scoreboard for an athlete, a report card for a student, a sales report for a company. Understanding not just your credit score but also being very familiar with the full credit report is key to better financing. Check out the importance of decoding your credit score and how it can impact your financial journey: [Link to the article provided]. #CreditScore #FinancialLiteracy

Think a cheap rate is all that matters? Think again. ?? Here are four crucial factors that should be on your radar: → **Borrowing Capacity**: What good is a low rate if you can’t secure the funds to purchase your dream home? → **Turnaround Time**: With a five-day cooling-off period, finding a lender who can get you approved quickly is key. → **Valuation**: Different banks value properties differently. A low valuation could slash your loan amount and potentially hit you with extra costs like LMI. → **Structure**: The wrong loan structure could lead to serious tax issues down the line. **Our Process**: With access to over 60 banks and lenders, we tailor your options to find the best fit for your situation—covering all the bases above. Once we narrow it down to a few top choices, we zero in on the lowest rate. I ensure my clients have all these boxes checked, and I’m ready to do the same for you. Shoot me a DM to get started ??

As today’s economic environment changes and the housing market fluctuates, traditional metrics such as credit scores are no longer the definitive indicator of a borrower’s creditworthiness. But with cash flow data, lenders can gain a more nuanced understanding of financial stability than with traditional assessment methods alone. Lenders, when you’re using traditional metrics to measure a borrower’s creditworthiness, what types of borrower profilers tend to give you the most trouble? ?? https://lnkd.in/eAiUar8T #cashflow #lending

As we wait for the numbers to drop—and watch them stubbornly stick or rise instead—one thing's for sure: there’s no one-size-fits-all in commercial borrowing rates. If you're looking to lock in a fixed-rate commercial loan then, yes, the Treasury bond yield will be the main interest rate driver. But there's a chunk of what you'll pay that's personal—dependent on your financial health, experience, and the property itself. Who you are, what you’re buying - and the risk all that entails: ?? Your Financial Profile: Strong credit and a solid track record can get you better terms. Expect higher rates if your finances aren't so great. ?? Your Experience: Lenders favor experienced investors. If you're new to the business or recovering from a bad time, lenders may price that in. ?? The Property: Prime, fully-leased properties get better rates. You'll probably pay more for risky or distressed assets. ?? Loan Structure: Higher loan-to-value ratios typically mean higher rates—again, lenders need to make sure they're covered. And etc. (this is a simplistic view). So... waiting for the perfect rate to make a move? It may never come. But you can almost always find an opportunity to create value. #CommercialRealEstate #CRE #InterestRates #CreateValue