Happy Tax Day! (Sent to subscribers on april 15, 2009 - email me to become a subscriber!)
I hope your day is going smoothly and you are feeling some of the "good first steps toward economic stabilization" as Ben Bernanke said yesterday. At Signet we are feeling it and want to share the love. SBA lending has great news:
- 504 Debenture rates are now at an all-time low
- 7(a) funding has increased fully 20% since stimulus efforts
- SBA fees are on holiday while the stimulus cash is available (est. into winter)
A quick rundown on commercial rates available. Note that we are happy to work with investors and owner users, purchases and refinances, above a million and below ($200k loan recently committed) and we are right here in your back yard.
OWNER USER:
• i. To 90% LTV, SBA blended rates 5.91% Fixed for 20 and 5 yrs with maturities of 20 and 25 years. The debenture is at a record low 5.25% this month and SBA fees are waived!
• ii. To 65% LTV conventional. Rate at 6.5%. Fixed for 5 years with 25 year no call, no loan renegotiation - this rate is available both above and below $1MM loan amounts.
INVESTOR:
• i. Easier underwriting to 65% and 125 DSCR. Rates Fixed for 5 yrs, Full 25 yr am, No Balloon, 6.5%
• ii. Whistle clean deals to 75% and 120 DSCR. Rates Fixed for 5 years, 30 yr am with 6 year call, 6.55%
• iii. Alternative Full-am Hybrid, fixed for 5 years, 30 year with no call, fixed for 5 yrs and adjustable after, starting at 6.78%
• iv. Adjustable to 65% and 120 DSCR. Rates at Prime + 1.25% with floor of 6.0%. Full am 25 years, no Balloon.
MULTI-FAMILY:
• i. 10 yr Fixed at 5.44 - 5.95%, 30 yr am and 30 yr am. Balloon at 10 yrs, 75 LTV and 125 DSCR.
• ii. Range is 20 bps better over $3MM and 30 bps better with lower LTV.
BIZ OPPS:
• i. SBA 7(a) with LTVs to 90% depending on business type and continuity. Prime or LIBOR + margins of 1.0-2.75%. SBA fees waived (until the cash runs out...)
• ii. SBA 7(a) volumes have jumped up 20% recently
• iii. Signet is your one-stop shop for conventional and SBA loans right here.
BRIDGE FINANCING - both bank and hard-money bridge financing available. I'll break out more information on this in an email next week in advance of the CID education session on foreclosures.
An opportunity for an investor: An associate has an apartment building investment opportunity for $2 MM with 10% cash on cash return and an after-depreciation equivalent 20% return. Perfect for the 1031 investor currently in search mode. Let me know and I'll connect you to the right people.
Make it a great day, and keep us in mind. - Dave
Comments(2)