State of the Market – October 2021

Terrydale Capital is actively providing capital solutions to our clients.   We are in constant discussions with our capital market resources and are also identifying new resources that have become more active in this new environment.

A quick snapshot of what we are seeing:

Private Money: Rate Range of 6% – 14%

A lot of money trying to be put out at this level right now. Our clients are utilizing these lenders for their short-term value-add projects.

Debt Funds & Bridge Lenders: Rate Range of 3% – 9%

These firms are continuing to get more competitive over the course of this year. Our clients have been able to successfully obtain financing in some cases inside of bank and conventional financing. We anticipate this trend to continue into 2022 as capital is still widely available.  

CMBS: Rate Range of 2.95% – 4.50%

CMBS has really been an active participant in CRE space in the last couple quarters as their pricing has also squeezed to compete with agencies and national banks.

Community Banks: Rate Range of 3.05% – 4.75%

We are closing several opportunities with our trusted community banks. Rates have come down quite a bit over the past 12 months with the community banks trying to earn more business. Our clients typically are utilizing these lenders for loans under $2MM and willing to sign recourse to obtain more flexibility on pre-payment terms.

Credit Unions:  Rate Range of 2.85% – 6.50%

These firms are more active and finding solutions for our clients that are in smaller markets. We are also getting good cash out options for clients with these firms with very flexible pre-payment structures.

Fannie & Freddie: Rate Range of 2.85% – 4.00%

Loans at low leverage (55% or under) are obtaining pricing in the mid-high 2% range. Currently rates and terms are still very attractive especially on loans above $10MM.

FHA: Rate Range of 2.55% – 3.85%

Our clients are actively seeking these options for multi-family development opportunities where we are getting max leverage of 85%.

Life Company: Rate Range of 2.00% and up

We continue to see a lot of pricing range with our LifeCo partners. Our clients are utilizing these options on a lot of our retail and office loan requests.

The team at Terrydale Capital consistently goes above and beyond to secure the best possible refinancing terms for our clients. Are you dealing with issues related to market volatility during COVID-19? Worried about high fees and missing out on better options? We have ways to help. Give us a call and see what we can do for you.

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