Archive for the 'News|Views' Category

Realty Capital Markets State of the Union

Yazan: RECI | 06 February 2010 | No Comments
Categories: News|Views

Timing is excellent for securing debt based on the following conditions: (1) Recovering economy, (2) Ample supply of capital and (3) Limited supply of financeable real estate assets.

Real Estate Capital Market Leaders Cautiously Optimistic

Yazan: RECI | 04 February 2010 | No Comments
Categories: News|Views

The biggest trick will be finding suitable real estate investments as the property markets are recovering slower than the capital markets.

What's wrong with a real estate correction?

Yazan: realtycapital | 15 May 2009 | No Comments
Categories: News|Views

The real estate correction is just that… a true correction of values based on historical norms.

Real Estate Capital Markets 2009 Outlook – More Questions than Answers

Yazan: RECI | 11 February 2009 | No Comments
Categories: News|Views

Challenging market conditions as many lenders wait on the sidelines.

How Long Will Mortgage Gridlock Paralyze Commercial Realty Markets?

Yazan: realtycapital | 08 December 2008 | No Comments
Categories: News|Views

“Tow the line in 2009; If not then, try 2010.”

SPECIAL REPORT: MORTGAGE MARKETS IN TURMOIL

Yazan: realtycapital | 21 November 2008 | No Comments
Categories: News|Views

People have more questions than answers.

Mining for Land Loans

Yazan: RECI | 20 November 2008 | No Comments
Categories: Education, News|Views

The key with land loans is relationship lending with seasoned and well-capitalized sponsorship.

Cash is King in the Real Estate Capital Kingdom

Yazan: realtycapital | 12 November 2008 | No Comments
Categories: Education, News|Views

“No Go” Without Cash Flow…

Is There Any Correlation between Capitalization Rates and Years?

Yazan: realtycapital | 22 October 2008 | No Comments
Categories: Education, News|Views

Numerology Adds Humor to Real Estate Capital Valuation Principals in an Uncertain Market.…

"Mission Money" Keeps Commercial Realty Markets Afloat

Yazan: realtycapital | 08 October 2008 | No Comments
Categories: News|Views

Mission Funds will play an even more important role in supporting real estate capital markets as many conventional funds stay sidelined.

Seven Percent – The New Mortgage Rate Benchmark for Income Properties

Yazan: realtycapital | 06 October 2008 | No Comments
Categories: News|Views

Rates climb to a higher new benchmark.

Mortgage Lending Reaches Extremes

Yazan: realtycapital | 15 July 2008 | No Comments
Categories: News|Views

Low leverage and opportunity lending cover both ends of the market, as funds remain high-priced.

New Daily Newscast Updated for Income-Property Capital Yields

Yazan: RECI | 03 May 2008 | No Comments
Categories: News|Views, The Institute

Listeners asked for more extensive coverage of the markets, but wanted us to keep the Rateline brief and simple — RECMD is the solution.

Reliability… The Most Important Word in Today’s Realty Equity Markets

Yazan: realtycapital | 11 February 2008 | No Comments
Categories: News|Views

Reliability – equal with price – has risen as a primary consideration in seller decisions.

2008 Real Estate Capital Outlook – Low Interest Rates and Funding Volume

Yazan: RECI | 06 February 2008 | No Comments
Categories: News|Views

More regulators expected to audit realty lenders in the face of eroding economics.

Landing Land Loans

Yazan: realtycapital | 08 November 2007 | No Comments
Categories: Education, News|Views

Land development ventures will be one of the best investment opportunities available, particularly broken deals that can be completed by seasoned players with solid financial backing.

Student Housing Financing Update

Yazan: realtycapital | 29 October 2007 | No Comments
Categories: News|Views

Student housing is truly one of the last attractive development frontiers.

Eight Trends in Successful Construction Loan Financing

Yazan: realtycapital | 26 September 2007 | No Comments
Categories: Education, News|Views

Underwriting Criteria More Stringent, Yet Realty Construction Funds Available.

Realty Investors Scramble For Equity Yields

Yazan: realtycapital | 22 September 2007 | No Comments
Categories: News|Views

Higher Yield Preferences Expand Risk Tolerances.

"Long Story Short" – Ten Reasons for Locking into Long-Term Realty Financing

Yazan: realtycapital | 19 September 2007 | No Comments
Categories: Education, News|Views

Despite Market Turmoil, Long-Term Permanent Loans Find Best Mortgage Pricing.

Heavy Competition for Industrial/Warehouse Loans

Yazan: RECI | 15 September 2007 | No Comments
Categories: News|Views

Industrials stay in favor due to tenant-driven supply restraints. The shorter construction cycle keeps spec and preleased development nearly in tandem.

Industrial-property rate informatio

LIBOR-Priced Mortgages – Time for a Checkup

Yazan: realtycapital | 15 September 2007 | No Comments
Categories: Education, News|Views

When should floating-rate loans be used?

"Dial4News" Technology Launched

Yazan: realtycapital | 10 September 2007 | No Comments
Categories: Education, News|Views, The Institute

Affordable Phone Answering Service System Delivers Automated, Continuous News.

Realty Capital Markets Value Sponsorship

Yazan: realtycapital | 15 June 2007 | No Comments
Categories: Education, News|Views

Five Tips on Sizing the Borrower for Income Property Loans.

A Long Story Short: Tens Reasons for Locking into Long-Term Realty Financing

Yazan: realtycapital | 20 April 2007 | No Comments
Categories: Education, News|Views

Long-Term Permanent Loans Find Best Mortgage Pricing.

Loan Amortization – The Overlooked Underwriting Variable

Yazan: realtycapital | 11 April 2007 | No Comments
Categories: Education, News|Views

Loan Payment Format Leads to Better Cash Flow Management.

Medical-Service Properties Climbing Property Preference Charts

Yazan: realtycapital | 15 March 2007 | No Comments
Categories: News|Views

Investors Ride Population Curve.

Mortgage Pricing Continues Narrowing between Credit and Non-credit Loans

Yazan: realtycapital | 09 March 2007 | No Comments
Categories: Education, News|Views

Intense Competition Creates Slimmer Risk Margins.

Capitalization Rates Stay Trim

Yazan: realtycapital | 21 February 2007 | No Comments
Categories: News|Views

Rising Interest Rates Have Minimal Impact on Property Values.

Fune-tuning a Permanent Mortgage

Yazan: realtycapital | 26 January 2007 | No Comments
Categories: Education, News|Views

Any underwriting advantage helps win deals above and beyond rate and term.

The Double-Digit Delight – Mortgage Spreads Continue Dropping

Yazan: realtycapital | 08 January 2007 | No Comments
Categories: News|Views

Spreads below 100 basis points over treasuries more common for commercial mortgages

Spec Construction Loan Update

Yazan: realtycapital | 10 December 2006 | No Comments
Categories: News|Views

Ample Funds Available For Projects Without Tenants.

Mortgage Pricing Continues Narrowing between Credit and Non-credit Loans

Yazan: realtycapital | 15 November 2006 | No Comments
Categories: Education, News|Views

Intense Competition Creates Slimmer Risk Margins.

Three Underwriting Tweaks Maximize Income-Property Loans

Yazan: realtycapital | 15 October 2006 | No Comments
Categories: Education, News|Views

Fine-tuning Yields Better Pricing and Leverage

Hospitality Lending In Full Swing

Yazan: realtycapital | 08 October 2006 | No Comments
Categories: News|Views

Capital Markets rest comfortably with lodging properties.

Five Reasons to Refinance Apartments Today

Yazan: realtycapital | 15 September 2006 | No Comments
Categories: News|Views

Lenders Still Prefer Apartments as a Favorite Property Type

Realty Capital Markets Pour Funds Into Office Buildings

Yazan: realtycapital | 10 September 2006 | No Comments
Categories: News|Views

Office Buildings Back in Favor.

Retail Properties Command Best Realty Capital Market Pricing

Yazan: realtycapital | 14 August 2006 | No Comments
Categories: News|Views

Retail properties rank high on lenders’ lists.

US-RateWatch Toll-Free Capital Market Phone Service

Yazan: realtycapital | 14 August 2006 | No Comments
Categories: News|Views, The Institute

News Service Provides Hourly Updates on Commercial Mortgage Rate Changes

Commercial Real Estate Capital Markets Happy with Fed's Announcement

Yazan: realtycapital | 06 August 2006 | No Comments
Categories: News|Views

Steady interest rate policy aides borrowers with construction loans and floating-rate debt.

Debt Service Coverage Underwriting Remains Liberal

Yazan: realtycapital | 15 July 2006 | No Comments
Categories: Education, News|Views

Mortgage Payment Schedules Freely Used to Maximize Loan Proceeds

MORTGAGE RATES

« "Current permanent loan rates for income-properties start at 5.5%. Dial 773-CAPITAL (227-4825) for the Real Estate Capital Rateline for daily update." »

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Las Vegas, NV - February 6, 2010 - According to industry leaders gathering in Las Vegas this week, debt capital is readily available for 2010.  Optimism is in the air and the mortgage lenders are starting to offer more generous terms and conditions.  In summary, timing is excellent for select borrowers in securing debt based on the following conditions:  (1) Recovering economy, (2) Ample supply of capital and (3) Limited supply of financeable real estate assets.  The following highlights summarize the 2010 state of the realty capital markets including an overall outlook and overall funding program offerings:  Back to Basics:  As lenders workout of their legacy problems, new funding goals surface which are clearly more ambitious than 2009. Still underwriting of actual numbers w/o projections, yet inflation fears exist. Most lenders are Indifferent to spreads, but not competition. Valuing real estate properties in a declining market still a challenge. More allocation of funds available above target amounts if deal flow is of sufficient quality Underwriting Dynamics:  As has been the case last year, high-quality projects in major markets backed by excellent sponsorship and cash flow characteristics are most desired—especially based on low leverage of 65% of value.  Location/Property Types: Major MSAs strongly preferred for optional pricing and leverage.  Otherwise a substantially most costly financing with lower leverage. Preferred property types ranked in order:  (1) Multifamily, (2) Credit-Tenant lease of all property types, (3) Industrial, (4) Retail, (5) Office - however medical office ranks equal to Industrial and (5) Lodging. Pricing (Permanent Fixed-Rate Loan): Agency pricing for apartments starts in the low to mid-5% range for 5 year or greater term. Life company pricing starts mid-5% to 6% for 5 years or more term mostly targeted for commercial property pricing (agencies are more competitively priced) More entrepreneurial funds start at 7% or more targeting secondary markets, smaller fundings, older properties and lodging assets. Add a pricing premium of 25 to 50 basis points for loans below $5 million. Yield differential disappearing - typical ($5 to $50 million) vs. larger loans. Forward funds available up to a year based on 6 o 8 basis points premium per month.  Leverage: Above 65% LTV on a select basis combined with lower spreads. Values based on the lower of: (a) purchase price, (b) appraised value or (c) lender imposed capitalization rate.