Apartment/Multifamily Loan Rates

Multifamily Loan Rate Outlook Report

 

November 5, 2024

Are Multifamily Mortgage Rates Coming Down in 2024 and 2025?

So,  what should you expect multifamily mortgage rates to do during the remainder of 2024 and throughout 2025? Fannie Mae is forecasting rates to average 6.4% for the remainder of 2024 and to decline slightly to 5.9% in 2025.  The Mortgage Bankers Association is projecting 6.2% by year end 2024, and 5.9% by year end 2025. The National Association of Realtors predicts mortgage rates will end 2024 at 6.01% and decline further in 2025 to 5.8%. And Realtor.com predicts mortgage rates to end 2024 at 6.2%.

 

As you can see from the research by these experts, there will likely only be a slight decrease in rates through 2025. This is also due to the Feds ending the practice of quantitative easing where they artificially lowered mortgage rates to stimulate the economy during the covid recession. This occurred in March 2022 which just so happens to coincide exactly with when long term mortgage rates started going up.   In effect, what they did was buy billions of dollars of treasury bonds and mortgage back security bonds to raise the demand for them, thus lowering long term mortgage rates. Sorry, but If you are hoping to get rates back to the low 4 percent range or even the low 5 percent range by the end of 2025, it doesn’t look likely. Feel free to call us to shop our platform with over 50 funds to find the lowest multifamily rate for you.

What Affects Long Term Mortgage Rates?  

I have been a commercial mortgage banker since 1997.  From my experience I can tell you that long-term mortgage rates follow the 10-year treasury yield.  I know this  because I look at the yield daily (it changes every 10 minutes or so) to determine if our rates are going up or down.   We add a spread of interest to it to determine the rate throughout the day. For example, if the 10 yield which is called the index is at 4.50% and the spread is at 2.00%,  the all in rate will be 6.50%.  

 

So, what affects the 10-year treasury yield?  Both Bank Rate and Investopedia agree that when the economy is doing great and the stock market is performing well,  more investors move away from the safe haven of treasury bonds for a better return in stocks. This creates lower demand for 10-year treasury bonds and the Feds raise the yield for them which attracts more investors. Thus, long term mortgage rates for both residential and commercial loans go up.

 

So, what happens when the economy performs poorly? When the jobs report, unemployment, inflation and GDP tank, the stock market usually declines, and more investors run back to the safety of treasury bonds.  Now, because there is high demand for them the Feds lower their yield; the effect of which is the lowering of long-term mortgage rates. Therefore, it makes sense to watch how the economy and the stock market are doing as an indication of what long-term mortgage rates will do.                                                                                                                 

 

Why Didn’t Long Term Mortgage Rates go Down when the Fed’s Lowered Rates?

 

Aren’t long term mortgage rates supposed to go down when the Fed’s lower rates?  Most people and many professionals will tell you this is accurate.  But in reality, according to the Federal Reserve Bank https://www.stlouisfed.org/on-the-economy/2017/october/increases-fed-fun... this is not the case.  Actually, long term mortgage rates sync up closely with the 10-year treasury yield, not the Federal Fund’s Rate controlled by the Fed’s.

 

When the Fed’s lowered the Federal Funds rate on September 18, 2024, by half a point, the 10-year treasury was at 3.72%.  Three weeks later this index was at 4.02%.  That’s a 30-basis point (bps) increase. This rose another 28 bps to 4.30% on November 4, 2024. Long term mortgage rates when up almost the same amount during these periods.

What Multifamily Loan Programs have the Lowest Rates Right Now?

So, let’s cut to the bottom line of what you really want to know, and that’s what apartment building loan programs have the lowest rates now.   As you can see from the rate chart above, HUD/FHA has the lowest rates now.  Actually, their rates are just about always the lowest long-term multifamily rates.  This is because HUD’s mandate is to create more quality housing in America, not to make the most money from interest. And we are not talking about a 10 or even a 30-year fixed rate mortgage on these loans, but a 35 year fixed rate on properties in good condition. At Apartment Loan Store, we have been funding HUD Multifamily loans for over 20 years.

 

Next on the list is Credit Unions.  Why?  Because credit unions are non-profit and do not pay taxes.  Furthermore, they are very loosely regulated by the Fed’s compared to commercial banks. So, they can pretty much do what they want.  Even better, because they are so profitable and have much more money to lend than they have borrowers they can offer loans without a prepayment penalty.   This means they can cut you a better deal than most lenders if you are a strong borrower and the property is in good condition in a good neighborhood. Credit unions have smart executives that prefer keeping their rates just below what the market will bear. So don’t expect them to give away the bank, or should I say the credit union.

 

Next comes Fannie Mae Multifamily, which can make a loan in any size market nationally, followed by Life companies that have great rates, but only make lower leverage loans at 65% LTV or lower to exceptionally financially strong borrowers.  Freddie Mac comes after that because they just raised their rates by 20 bps because they are running out of  the allocated funds for 2024 and are trying to slow down demand.  Next, Regional Banks (lend in many states) and Large National Banks have lots of their own money to lend and can cut you a sweet deal as long as you agree to make them your primary bank for deposits. To find out more on these multifamily loan programs see view their guidelines below and for even more go to: https://apartmentloanstore.com/loan-product/multifamily-loans

Will Multifamily Rates Come Down When the Fed’s Change Rates in 2024?

The Feds are expected to lower rates again at their November 6,7 and December 17,18 meetings, but as already mentioned, you cannot rely on this to lower long term mortgage rates. In most markets, multifamily rents are flat which means many investors cannot afford to buy multifamily properties with the expectation of raising rents quickly. If property prices do come down, this should bring sales prices down a bit which will encourage large banks, credit unions and life companies to lower their rates to get deals done. Check out my article on Multifamily cap rates: https://apartmentloanstore.com/glossary/cap-rate

 

Terms and Guidelines for these Loan Programs

1. HUD/FHA Multifamily 

Being able to fix a low rate for 35 years fully amortizing, makes this government loan program very attractive. If the rate goes down after you get your loan simply apply for a rate reduction loan modification to get the rate lowered.

 

*Interest rates are tied to the 10 year treasury yield plus a spread mandated by HUD

 

Click on this link for a lot more detailed information on HUD Multifamily Loans and Rates

 

The US Department of Housing and Urban Development (HUD) guarantees loans

made from its approved lenders that are sold as the highest rated mortgage-backed

security bonds on Wall Street. Click on this link for the Advantages of HUD Multifamily Loans and this link for the Disadvantages of HUD Multifamily Loans.

If you’re planning on keeping this loan forever and passing the property on to your kids someday, this could be the best non-recourse loan for you and the last loan that you will need for the property. 

 

With the lowest long-term apartment loan rates fixed for 35 years, with a 35-year amortization this Non-Recourse Loan is by far our best Apartment Loan Program in the United States. HUD Multifamily has non-recourse, and assumable financing for both purchasing and refinancing of apartment buildings. The maximum loan is 85% LTV for a purchase, 85% for a rate and term refinance, and 80% for a cash out refinance. The smallest size loan is $3,000,000. There is no maximum on loan size. To learn more about HUD Multifamily Loan Terms click on this link: HUD Multifamily Loan Glossary

 

If your building is green construction, your rate can be lowered by 0.35%. If you are ever need to place on the property. For more on non-recourse loans go here. If you are self-employed and do not show much income on tax returns, this loan is a plus as no tax returns are required. Apartment loan store has been doing FHA multifamily loans since 1999. Click on this link if you would like to learn more about How Does HUD Define Multifamily and this link if you are interested in learning about Buying Multiple Houses with a HUD/FHA Loan.

 

My Video about HUD Multifamily Loans

 

https://www.youtube.com/watch?v=yK7SgrTVmZw&t=7s

 

HUD Multifamily Permanent Loan Guidelines and Requirements

Acceptable Property Types: Multifamily, Mixed use, and Senior Housing

 

• Loan size: $3,000,000–100,000,000 plus, For more on this Minimum Loan Amount for the HUD 223 (f)
• LTV: 85%; 80% with cash out. Up to 87% for affordable rent properties
• 35-year fixed rates, 35-year term, 35-year amortization 
• 1.176 minimum DSCR for market rents, 1.15 for affordable rents
• Non-recourse
• No tax returns
• Commercial space = 25% of total SF, or 20% of effective gross Income
• For More Info on Mixed Use Loans
• Loan fee: 1.00 – 2.00%
• HUD fee: 0.30%
• Mortgage insurance: 0.25–1.00%
• Prior similar property ownership experience needed
• Primary, secondary, and small markets okay
• Good credit required with no specific score
• No minimum net worth requirement
• Post-closing cash required not specified
• Declining prepayment penalty
• 90% occupancy required for 90 days
• Assumable with a 0.50% fee
• Rate lock at loan approval with a 1/2-point refundable deposit
• Minimum six months for loan approval

For More Details on the 2 most popular HUD Multifamily Loan Programs click below:

HUD 223 (f) Loan

HUD 221 (d) (4) Loan

 

2. Fannie Mae Multifamily 

If you need a multifamily loan in a small town and want to fix the rate for up to 30 years, with the first 4 years having interest only payments, this loan can do that. 

 

If you want to compare the two lowest rate programs click on this link: What is the Difference Between HUD and Fannie Mae Multifamily

 

These low-rate non-recourse loans can be fixed for up to 30 years. Fannie Mae, short for Federal National Mortgage Association, is a government sponsored enterprise (GSE) and has some of the lowest rates and best terms around for apartment properties of five units or more. Rates can be fixed from 5 to 30 years. Fannie Mae does not actually originate loans, but is a publicly traded corporation that guarantees and securitizes them to be sold as mortgage-backed security bonds. Authorized lenders close with their own funds and then sell the loans to Fannie Mae.

One of the best features of Fannie Mae Multifamily is that these loans can be made in very small communities, even down to 5,000 people. Another great feature is you can fix the rate for up to 30 years. Just keep in mind though: the longer you fix the rate, the higher the rate. One negative for some is that Fannie Mae will require you to have 2 years of multifamily ownership experience of 5 units plus, and for the property to be near by or at least in your state. You can apply for waivers on both of these requirements. 

Property Types: Multifamily, senior housing, student housing, and mobile home parks           Types of Loans: Permanent loans only

Click on this link for detailed info on Fannie Mae Multifamily – Top 7 Programs

 

Fannie Mae Program Guidelines and Requirements

Types of Loans: Permanent loans only

Property Types:  Multifamily 5 units plus, Mixed Use, Senior Housing, Student Housing, Affordable Housing. 

For more info on Mixed Use Loans

 

• Loan size: $1,000,000—unlimited
• LTV: 80%, 75% with cash out
• 30-year amortization
• Non-recourse available
• 5–30 year fixed rates/term
• No tax returns
• No global or debt to income ratio
• Interest-only available
• No ground-up construction
• Loan fee: 0.50–1.00%
• 680 minimum credit score
• Lend in any size market 
• Minimum net worth equal to loan amount
• Post-closing cash: 12 months’ loan payments
• 1.25 minimum DSCR
• 35% commercial space allowed
• Yield maintenance prepayment penalty
• 90% occupancy required for 90 days
• Affordable housing programs
• Assumable with a 1.00% fee
• Rate lock at loan approval
• Refundable rate-lock deposit required

3. Freddie Mac Multifamily

Do you want to be able to lock the rate at application and have your first 4 – 10 years have interest only payments? This loan program can do that. 

 

These non-recourse loans are the best at offering 10 years of interest only payments for loans 65% LTV and lower. Watch out, as the rates are the lowest in large MSAs, and go up a lot in smaller communities. Freddie Mac is a GSE that securitizes loans from their approved lenders. These are put into mortgage pools and sold to investors as mortgage-backed security bonds on Wall Street.

 

Freddie Mac Multifamily Loan Guidelines and Requirements

Acceptable Property Types: Multifamily 5 units plus,  senior housing, and student housing

Types of Loans: Permanent loans only 

• Loan size: $1,000,000–50,000,000
• LTV: 75% with cash out
• 30-year amortization
• Non-recourse available
• 5- or 10-year fixed rates
• 5–20 year term
• No tax returns
• No global or debt-to-income ratio
• No ground-up construction
• Loan fee: 0.50–1.00%
• Higher rates for smaller markets
• 660 minimum credit score
• Minimum net worth equal to loan amount
• Post-closing cash: 12 months’ loan payments
• 1.20–1.25 minimum DSCR
• 35% commercial space allowed
• Yield maintenance or declining prepayment penalty
• 90% occupancy required for 90 days
• Affordable housing programs
• Assumable with a 1% fee
• Interest-only available
• Rate lock at application

 

4. Life Companies

Life Company loans offer non- recourse low interest rate loans that can be fixed for up to 20 years. As one of the most conservative lenders they are not likely to lend more than 65% LTV, and require financially strong experienced sponsors.  

 

They prefer large loans $10 million and above, low LTVs, strong borrowers, and large cities. But they have some of the very lowest long-term fixed rates.  Keep in mind that the longer the rate is fixed, the higher the rate. These large insurance companies have capital divisions that lend on commercial real estate. They prefer lending at 65% LTV or less, and have very low rates that can be locked for up to 20 years. Most life companies lend their own money, with some doing CMBS executions. Watch out, this type of lender will cut their LTVs down to 55% during a recession or during tough economic times.

 

Life Company Multifamily Loan Guidelines and Requirements

Property Types: Multifamily, Mixed Use, Senior Housing

Types of Loans: Permanent and Construction

 

Click here for more info on the 7 Best Multifamily Construction Loans   

• Loan size: $10,000,000–150,000,000 plus
• LTV: 65 - 70%
• 25–30 year Amortization
• Non-recourse
• 5–25 year fixed rates
• 5–25 year term
• Tax returns required
• No global or debt-to-income ratio
• Strong borrower experience required
• Loan fee: 1%
• Primary and secondary markets
• 720 minimum credit score
• Minimum net worth equal to 1.5 times loan amount
• Post-closing cash: 20% of loan amount
• 1.25 minimum DSCR
• Yield maintenance prepayment penalty
• 90% occupancy required
• Assumable with a 1% fee
• Interest-only available
• Rate lock at loan approval
• Refundable rate-lock deposit required

5. Regional Banks

You are going to need strong income showing on tax returns, experience, and a net worth equal to the size of the loan to get one of the lowest fixed rates here.

 

Regional Banks are financially stronger and have a much larger footprint to lend in than community banks. Often, they lend in multiple states that adjoin the state their headquarters are located. Rates can be fixed from 3 – 10 years and  tend to be lower than smaller community banks that can only fix a rate from 3 – 5 years. One plus is that you can lock the rate at application for a 1.00% refundable at closing rate lock deposit.  Many regional banks sell their loans on the secondary market. Because of this they have higher net worth and post closing cash requirements than community banks.

 

Regional Bank Multifamily Loan Guidelines and Requirements

 

Acceptable Property Types: Multifamily, mixed use, and Senior Housing

Types of Loans: Permanent loans only

• Loan size: $1,000,000–15,000,000
• LTV: 75% with cash out
• 30-year amortization multifamily
• 25-year amortization commercial
• Recourse ▪ 3-, 5-, 7-, 10-year fixed rates
• 25- or 30-year term
• Tax returns: required
• Global ratio: required
• Primary and secondary markets preferred
• Loan fee: 1% ▪ 680 minimum credit score
• Minimum net worth equal to loan amount
• Post-closing cash: 12 months’ loan payments
• 1.20–1.25 minimum DSCR
• Occupancy required: 90%
• Assumable: yes, with a 1% fee
• Interest only: no
• Rate lock at application
• Refundable rate-lock deposit: yes

 

6. National Banks

The stronger you and your property are financially, the better terms you will get on your loan with this lender. They also have some of the lowest commercial construction loan rates.

 

Large loan size is not a problem here. These are the largest banks in America such as JPMorgan Chase Bank, Bank of America, Wells Fargo, and Citigroup. As far as banks go, they have the best loan programs for stronger, experienced borrowers. Along with lending their own money, many can do Fannie Mae, HUD, and CMBS lending. On the upside, they can give a stronger borrower a much better rate. On the down side is that they tend to lend in larger cities, unless they have a branch in your smaller community.

 

National Bank Loan Guidelines and Requirements

 

 Acceptable Property Types: Multifamily, mixed use, senior housing, student housing, mobile home parks

Types of Loans: Permanent, construction, and rehabilitation

• Loan size: $10,000,000–250,000,000
• LTV: 70% ▪ 25- or 30-year amortization
• Recourse or non-recourse considered
• 5-, 7-, 10-year fixed rates
• 10-year term
• ax returns required
• Global ratio and debt-to-income ratio: required
• Loan fee: 1%
• Primary markets preferred
• 720 minimum credit score
• Minimum net worth of twice the loan’s size
• Post-closing cash: 25% of loan size
• 1.20–1.25 minimum DSCR
• Yield maintenance prepayment penalty
• Occupancy required: 90%
• Assumable: no
• Interest-only: no
• Rate lock at loan approval or when documents are drawn
• Refundable rate-lock deposit: no 

 

7. Credit Unions

If you need a loan without any prepayment penalties and want to fix the rate for 5 – 10 years at rates lower than most banks, credit unions can do that.

 

If you have decent personal income, some cash left over after your loan closes and don’t want a prepayment penalty, this is the place to shop. Credit unions make loans to members who live nearby. Almost anyone can join. They are nonprofit and are not taxed. This allows them to be very competitive on rates and loan fees and can fix a rate up to 10 years. They almost always have more money to lend than customers. But surprisingly, they set their rates just below most of their competitors. Plan on not only becoming a member but on having the operating bank account for the property with them. They will request most of your other bank accounts be transferred to them, but you can negotiate on this.  

 

Credit Union Multifamily Loan Guidelines and Requirements

Types of Loans: Permanent, rehabilitation, construction, and credit lines

 

Preferred Properties:  Five units plus Multifamily, Duplexes, Triplexes, and Four Plexes

• Loan size: $75,000–15,000,000
• LTV: 75%; 65% with cash out ▪ 25-year amortization
• Recourse
• 3–10 year fixed rates
• 10-year term 
• Tax returns: required
• Most lend in local markets
• Borrower required to join the credit union
• 675 minimum credit score 
• Minimum net worth: negotiable
• Post-closing cash: negotiable
• 1.25 minimum DSCR
• Usually no prepayment penalty
• Occupancy required: 85%
• Assumable: no 
• Interest-only: no
• Rate lock at loan application
• Refundable rate-lock deposit: no
• Loan fee: 1.00%                                                  

 

8. Commercial Mortgage Backed Security (CMBS)

These non-recourse loans do not require tax returns, and can be fixed for up to 10 years.  If you need a blanket loan on a mix of commercial properties all over the country, this is the loan program for you.

 

The best thing about these non-recourse loans is that they can fix a rate for 10 years with a 30-year amortization and even give you interest only payments for the first two years. This is the best loan program if you have multiple apartment complexes in different locations or for that matter in different states and want to finance them all with one blanket loan. On the down side as you can see, this program has higher rates now. These loans consist of an “A” piece which is usually a 60% first and a B piece which is a 15% second. It is important that you only use a CMBS lender that executes both mortgages. This way your loan is more likely to close as proposed. Lenders close with their own funds and then sell the loans in securitized pools as mortgage-backed security bonds.

 

CMBS Loan Guidelines and Requirements

Acceptable Property Types: Multifamily, mixed use, senior housing, student housing, and mobile home parks. 

Types of Loans: Permanent loans only

• Loan size: $2,000,000–50,000,000
• LTV: 75% with cash out
• 25–30 year amortization
• Non-recourse
• 5- or 10-year fixed rates/term
• Tax returns not required
• No global or debt to income ratio
• No ground-up construction
• Loan fee: 1%
• Primary and secondary markets preferred
• 675 minimum credit score
• Minimum net worth negotiable
• Post-closing cash negotiable
• 1.25–1.35 minimum DSCR
• Yield maintenance or defeasance prepayment penalty
• Occupancy required: 85%, or market occupancy
• Assumable with a 1% fee
• Interest-only available
• Rate lock at loan approval
• Refundable rate-lock deposit required
•  

9. Community Banks

If you have a strong personal income showing on tax returns but don’t have multifamily experience, a high net worth or much cash around; this is where you want to go.

 

If you don’t have a high net worth, post-closing cash, or much multifamily ownership experience but have solid income, this is where you will qualify. These are small banks that make loans in their own backyard. They require good credit with a score preferred of 720 and above. Most are not fond of cash-out refinancing and can only fix the rate from 3 – 5 years. Community banks will often require your entire banking relationship, or at a minimum multiple deposit accounts with them. They can do a loan over $10 million by participating with other banks. 

 

Community Bank Loan Guidelines and Requirements

 

Acceptable Property Types: Multifamily, Mixed use

Types of Loans: Permanent, construction, rehabilitation, mini-perm, and credit line

• Loan size: $150,000––$6,000,000
• LTV: 75%; 65% with cash out
• 25-year amortization
• Recourse
• 3–5 year fixed rates
• 10-year term
• Tax returns required
• Global ratio and debt to income ratio
• Loan fee: 1.00%
• Lend in local market
• 720 minimum credit score
• Minimum net worth: negotiable
• Post-closing cash: negotiable
• 1.25–1.35 minimum DSCR
• Declining prepayment penalty
• Occupancy required: 85%, or market occupancy
• Assumable: no
• Interest-only: no
• Rate lock at loan approval
• Refundable rate-lock deposit: no 

 

10. Debt Fund Bridge Loan

If you need a loan fast to improve a property and don’t want to pay hard money rates, check this loan program out. Better yet, these lenders are more negotiable than most since they have money in funds that’s just sitting there and needs to be put to work.

 

Bridge loans are temporary loans that are known for closing fast. We are talking about from two weeks to a month. Bridge lenders do short term interest only loans of 1 – 3 years. They like to lend their money out fast and get it back in rather quickly to lower risk. Although they lend it out at high rates, it is still below hard money rates. They are almost always negotiable on points and rates because they are paying investors interest payments monthly on each fund. So, it’s better for them to accept a lower yield than to just have the fund sitting stagnant in the bank. But keep in mind that they must earn a profit and will not be able to make a deal that doesn’t accomplish that. 

 

Debt Fund Bridge Loan Guidelines and Requirements

 

Acceptable Property Types:  Multifamily, Senior Housing, Student Housing and Mobile Home parks 

Types of Loans:  Bridge, Rehabilitation, and Construction

• Loan size: $1,000,000–12,000,000
• LTV: 75%
• Up to 80% Loan to Cost of rehabilitation or construction
• Interest-only
• Recourse
• 1–3 year term
• Tax returns: required
• Loan fee: 2%
• 640 minimum credit score
• Minimum net worth: negotiable
• Post-closing cash: negotiable
• DSCR:  1.00 preferred at closing, 1.25 at stabilization
• 6–12 months prepayment penalty
• Assumable: no
• Lend in Primary, secondary, and small markets

 

 

11. Crowd Funding Loan

If you need a loan fast with less down, and don’t mind having the lender be one of your partners, than check out Crowd Funding.

 

If you only have 15 - 20% to put down, a crowdfund loan might be right for you. But be careful. These lenders will want a preferred return and some ownership as well. These loans can fund quickly in as little as a month and are easier to qualify for than bank loans. Crowdfunding platforms are lenders that allow investors to invest in larger properties by pooling their money with other investors. Investors choose the properties they want to invest in, so be wary; sometimes they change their mind prior to closing and the crowdfunder has to find a replacement which can delay your closing. 

 

 

Crowd Funding Guidelines and Requirements

 

Acceptable Property Types:  Multifamily, Senior Housing, Student Housing and Mobile Home parks. 

Types of Loans:  Permanent, Bridge, Rehabilitation, and Construction.

• Loan size: $1,000,000–12,000,000
• LTV: 75 - 85%
• Up to 80% Loan to Cost of rehabilitation or construction
• Interest-only
• Recourse
• 1–5 year term
• Tax returns: may be required
• Loan fee: 2%
• credit score: negotiable
• Minimum net worth: negotiable
• Post-closing cash: negotiable
• DSCR:  .80 for rehabilitation,  1.25 at stabilization
• Prepayment Penalty: negotiable
• Assumable: no
• Lend in Primary, secondary, and small markets

 

12. Poor Credit Permanent Loan

So, your credit isn’t great, but you still need a multifamily loan, try one of these lenders.  Your interest rate will be based on your credit score.

 

Yes, rates are much higher, but if you have bad credit as low as a 540 credit score, you can likely get your project funded here while working on building a higher credit score These loan programs have much better rates and terms than hard money lenders based on your credit score. Often it can be best to take one of these loans for just two - three years if that will be enough time to rebuild your credit when you can refinance or sell the property. Be wary of very restrictive prepayment penalties like a 2 – 3 year lockout (prohibits you from prepaying during this time frame). Often you can negotiate this away.

 

Poor Credit Permanent Loan Guidelines and Requirements

 

Acceptable Property Types:  Multifamily, Senior Housing, and Student Housing

Types of Loans:  Permanent only

• Loan size: $500,000–6,000,000
• LTV: 70% with cash out25- or 30-year amortization
• Recourse
• 2–5 year term
• Tax returns: not required
• Loan fee: 1–2%
• Rates based on credit score
• 540 minimum credit score
• Minimum net worth: negotiable
• Post-closing cash: negotiable
• 1.25 minimum DSCR
• Declining prepayment penalty
• Assumable: no
• Primary and secondary markets