On May 20, the Senate approved far-reaching new financial rules aimed at preventing the risky behavior and regulatory failures that brought the economy to the brink of collapse two years ago and cost millions of Americans their jobs and savings. As the broad legislation heads to a U.S. House-U.S. … [Read more...] about 6.4.10: Risk-Retention Provision of Financial Reform Bill May Impact CMBS
5.31.10: SBA 7(a) Stimulus Money Runs Out Again
On May 31, the Small Business Administration (SBA) will run out of money for the breaks that revitalized its lending programs. The Economic Stimulus Bill that passed in February 2009 increased the government guarantee on the SBA’s flagship 7(a) loans to 90% (up from the typical 75%) and reduced fees … [Read more...] about 5.31.10: SBA 7(a) Stimulus Money Runs Out Again
5.26.10: But the USDA B&I Program Has Stimulus Money — for One Week Only!
Karen McDonnell, Business Program Specialist for the N.Y. office of the USDA, reports that although the USDA B&I loan guarantee program has officially run out of stimulus money, an allocation of stimulus money will be available for applications received during the week of June 7, 2010. Ms. … [Read more...] about 5.26.10: But the USDA B&I Program Has Stimulus Money — for One Week Only!
5.21.10: CMBS Special Servicers Have Their Hands Full
Commercial mortgage-backed securities special servicers turned to creative workout strategies when volume reached $81.7 billion at the end of the first quarter, according to Fitch Ratings, New York. Nearly 5,000 loans in special servicing rapidly increased workload and staff. "Special servicers are … [Read more...] about 5.21.10: CMBS Special Servicers Have Their Hands Full
5.14.10: What’s Hot in Commercial Lending
Mortgage brokers should focus on key loan programs if they want to make money in the current credit environment. “I am regularly asked by mortgage brokers, borrowers and bankers to provide guidance on what type of loans can get closed in the current tight credit environment,” said Michael D. Sneden, … [Read more...] about 5.14.10: What’s Hot in Commercial Lending
5.12.10: SBA 504 Lenders Now Able to Sell Participation Interests
Secondary Market Access (SMA) -- a consortium of CDCs and financial companies -- has begun operations to purchase SBA-504 first mortgages for sale into the secondary market. SBA-504 first mortgage lenders are now able to sell 85% participation interests of individual loans to pool originators … [Read more...] about 5.12.10: SBA 504 Lenders Now Able to Sell Participation Interests
5.7.10: Watch your Ps and Qs and SBA 1502s
Many lenders struggle with reporting their loans to SBA via the Fiscal Transfer Agent, Colson Services. Often, lenders with dedicated SBA departments can handle the responsibilities without much difficulty, but lenders that are only semi-active in SBA lending are sometimes not up to speed on SBA … [Read more...] about 5.7.10: Watch your Ps and Qs and SBA 1502s
4.29.10: USDA Business and Industry (B&I) Loan Program Gains Popularity
The USDA B&I loan guaranty program, historically underfunded and a difficult program to actually close loans through, is gaining renewed popularity under President Obama’s American Recovery and Reinvestment Act of 2009 (“Recovery Act”). With Recovery Act funding, the USDA can guarantee up to 90% … [Read more...] about 4.29.10: USDA Business and Industry (B&I) Loan Program Gains Popularity
4.27.10: Any Parallels to CMBS with The Greatest Trade Ever and The Big Short?
Anyone who has originated a CMBS conduit loan owes it to himself to read The Big Short, by Michael Lewis and The Greatest Trade Ever, by Gregory Zuckerman. These two books chronicle the financial meltdown that occurred in 2008 resulting from the collapse of residential mortgage-backed securities … [Read more...] about 4.27.10: Any Parallels to CMBS with The Greatest Trade Ever and The Big Short?
4.23.10: Morgan Stanley to Resume CMBS Lending
According to Commercial Mortgage Alert, Morgan Stanley is getting back in the game. The bank, which was the dominant bookrunner of commercial MBS transactions through much of the 2000s, disbanded its real estate origination group in 2008 after the market crashed. The buzz is that Morgan Stanley has … [Read more...] about 4.23.10: Morgan Stanley to Resume CMBS Lending