Marcus and Millichap Debt Market Updates Terms and Rates 2-22-18
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Marcus and Millichap Debt Market Updates Terms and Rates 2-22-18

 

Focus Shifts from Fed to Foreign Affairs

 
Treasuries have rallied as investors shifted focus from the Federal Reserve and its commitment to increasing interest rates to the threat of a trade war with China that has the potential to slow global growth. The threat of an escalating trade spat sent investors scurrying to safe-haven assets and caused the 10-year Treasury yield to fall back toward 2.8%. Investors are on edge a day after the Fed sought to reassure markets that it’s in no hurry to raise rates even as it announced stronger growth projections for the world’s largest economy.  
 

Index Rate

3-Year Swap 2.77%
5-Year Swap 2.86%
7-Year Swap 2.81%
10-Year Swap 2.86%
5-Year Treasury 2.63%
7-Year Treasury 2.76%
10-Year Treasury 2.83%
Prime 4.5%
 

*Prime Updated Once Daily

Multifamily Loan Programs Greater Than $5 Million

Fixed Rate Agency Lenders Portfolio Lenders*
Term LTV Interest Rates LTV Interest Rates
5 Yr. 55 to 80% 4.86% to 5.28% 55 to 75% 4.00% to 4.35%
7 Yr. 55 to 80% 4.70% to 5.12% 55 to 75% 4.25% to 4.50%
10 Yr. 55 to 80% 4.72% to 5.14% 55 to 75% 4.40% to 4.75%

*Rates indicative of national average, Act/360

Multifamily Loan Programs Less Than $5 Million

Fixed Rate Agency Lenders Portfolio Lenders*
Term LTV Interest Rates LTV Interest Rates
5 Yr. 55 to 80% 4.55% to 4.95% 55 to 75% 4.00% to 4.25%
7 Yr. 55 to 80% 4.75% to 5.05% 55 to 75% 4.25% to 4.60%
10 Yr. 55 to 80% 5.05% to 5.25% 55 to 75% 4.45% to 4.90%

*Rates indicative of national average, Act/360

Commercial Loan Programs

Fixed Rate Portfolio Lenders*
Term LTV Interest Rates
5 Yr. 55 to 75% 4.25% to 4.75%
7 Yr. 55 to 75% 4.40% to 4.85%
10 Yr. 55 to 75% 4.65% to 5.00%
15/15 55 to 75% 4.60% to 4.95%

Bridge Financing

Bridge Floating LTV Spread Over Libor
Stabilized 65% 250 to 425
Re-Position 80% 300 to 500

*Portfolio Lenders include Banks, Life Insurance Companies and Credit Unions

 
 
Recent Transactions
 
 
Multifamily
Torrance, CA
$4,240,000
3.70% Fixed
30-yr term / 30-yr amort.
Medical Office
Oklahoma City, OK
$3,795,000
4.25% Fixed for 7 yrs
10-yr term / 30-yr amort.
STNL
Cincinnati, OH
$1,500,000
4.52% Fixed
10-yr term / 25-yr amort.
Shopping Strip
New York, NY
$1,000,000
4.50% Fixed
5-yr term / 30-yr amort.

Contact us about Financing your next Commercial Real Estate Purchase
or Refinance of existing Debt

CONTACT

 

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