You hear a lot today that, with the exception of FHA-HUD, the GSE lenders (Freddie Mac and Fannie Mae) are the best lenders in today’s multifamily market. This isn’t really true, but its often said. However, with the exception of a sales call, there’s very little discussion of the best way to access GSE capital. [...]
In the good old days, before the collapse of the CMBS market and partial failure of the banking system, interest only (I/O) loans were everywhere. Banks were offering them, Life Companies were offering them, and Conduits were putting them on practically every deal as were Freddie and Fannie. And it wasn’t only partial I/O, for [...]
Borrowers who never considered FHA/HUD are now being told they need a FHA/HUD 223 (f) loan. However, most borrowers, and brokers who are selling this product, don’t understand the issues relating to these loans. The 223 (f) is FHA/HUD’s acquisition/refinance program for conventional apartment projects. With limited sources for apartment financing today, this program is being [...]
These are unprecedented times – never has there been so much complexity or uncertainty in terms of the economic outlook. But with the Fed Funds rate at .25% and the 10-year Treasury below 3.00%, rates are about as low as they can go. Economists generally agree that the question is not whether rates will rise, [...]