Tag Archives: lending
Are Banks funding Apartment Loans, ReFinancing and Commercial MultiFamily Construction Projects?
A common question being asked in todays financial climate, “Are apartment financing, MultiFamily property refinancing or apartment construction loans still available?” The answer to this question is a resounding YES. I continue see loans funded for apartment purchases, apartment refinances and construction lending. This is awfully good news in a time of a protracted credit crunch; a credit squeeze which has now gone global in its scope.
A source close to my company, one with ties to the top counsels of Fannie Mae and Freddie Mac, recently confided that Fannie and Freddie have been making money ONLY in the Apartment and Mobile Home Lending sectors. The upshot is this: These two venerable institutions of probity are determined to increase liquidity and strengthen apartment lending programs. The Fed needs to hang its hat on something, so why not strengthen an already existing stable lending platform to promote future growth in an industry already doing well: Apartments.
This protracted credit squeeze began as a virus. This virus started with the housing industry and contaminated the commercial real estate market along with just about every stock, financial instrument, business man, woman or line of credit in the country. Apartments have been the least impacted the credit crunch, but sales volume has still registered sizeable decline.
What a mess it has become. The chill in the credit markets began in October 2006. By October of 2007, this chill had become a deep freeze.
To understand the steep decline in the commercial real estate industry, one need only look at the numbers: Total commercial sales volume for October 2008 was barely one-quarter of its October 2007 level and just over 20% of the levels it achieved in 2006. Now that is a drop!
The aggregate deal volume and sales volumes for commercial real estate as a whole is down 75%, October 2007 to 2008.
For apartments, the fall off in deal volume has been sharp and steady: The number of properties trading hands has fallen 60% from October 2006 to October 2007 and has fallen another 75% this past 12 months.
There are several explanations for this but perhaps the number one reason is price risk, as measured between the spread of cap rates and the 10-Year Treasuries. In the apartment sector, this spread has more than tripled, (not Good) to a spread of 263 bps from their narrowest point in July of 2006, when it was 81 bps.
Between 2000 and 2004, the total renter households declined by 1.9 million as home ownership increase from 66.9 percent to 69 percent.
In 2005 this house-hold, rental-living trend began to reverse itself. Since the beginning of 2007,the home ownership rate has fallen by 110 basis points, resulting in 1.5 million additional renter households. This reversal is most pronounced in the younger age segment but it cuts across all age lines. The trend is up for rental-living-units.
In the end, Apartments are holding up well. Financing IS available and more people than ever are in need of rental housing.
Discover the Best Payday Loan Rates in Canada
It is in Canada where you can find the best payday loan rates. This type of Canada loans are considered to be one of the best financial solutions in providing you instant cash as your urgent need arises. The approval process is straightforward and you are not required to speak with anyone to get approved as you can file your loan application online.
Why Getting the Best Rates is Important
The interest rate is crucial in getting these loans. You see, this type of loan carries with it higher interest rate than your typical loans. When you are not careful on choosing the best rate, you might find yourself deeper into your financial mess. These loans are best when the interest rate is affordable; the amount you are borrowing is only the amount you actually need, and when the loan is within your means to repay for its short repayment period. Canada payday loans are known to have the best rates and the most flexible repayment terms and conditions.
How Does Canada Payday Loans Work?
This type of loan in Canada works like cash advances. Cash is loaned to individuals who while waiting for the next pay period are experiencing cash emergencies. The amount that can be borrowed is smaller than typical loans but require minimal documentation. Repayment period is also shorter- within the next cut-off following the release of the loan, compared to regular loans. There are several ways to avail of a payday loan in Canada.
First, you can personally visit the lending agency or provider. This means you have to go to the brick and mortar location of the lender bringing along with you the following: proof of income, proof of residence, and bank statement. You can leave the agency with the cash already on your hands.
Next, you can call your lending agency and over the phone, provide the information needed. Once approved, you can then pay a visit to the location, make the agreement official and then receive the cash amount you are borrowing. This last option is usually the most convenient and preferred by many- applying for the cash advance online. You do not have to leave your home or talk to anyone in the agency. All you need to do is to connect online. You visit the site of your lending agency to:
* accomplish their prescribed online form, and
* in some instances depending on your agency you may send screen shots or scanned images of your documents for fast tracking of your application.
In as little as a few minutes, your application may get the necessary approval and you receive the amount through transfers. Canada is the Place Canada is the place where most of the reputable lending agencies that offer the best loan rates are located. You can even maximize the loan with the flexible terms and conditions of your Canadian lending agency. Don’t you just love to be a Canadian citizen and get the cash you need when you need it the most? Best thing is you can get it instantly with your online cash advance application.