Interest rates for CMBS conduit loans remain at historic lows. After the 10-year swap rate hit a recent low of 1.33% on September 3, the rate began to move upward, creating a concern that the window for record-low CMBS conduit loan rates may quickly close. The 10-year swap rose to 1.79% on September … [Read more...] about 10.10.19: CMBS CONDUIT LOAN RATES REMAIN AT HISTORIC LOWS
9.9.19: Loan Requests Surge Amid Record Low Rates
New loan requests are surging for ValueXpress as interest rates for CMBS conduit loans have plummeted to the lowest levels in history. Recall that the interest rate on a 10-year fixed-rate CMBS conduit loan consists of the 10-year swap rate plus the loan spread. The swap rate has declined steadily … [Read more...] about 9.9.19: Loan Requests Surge Amid Record Low Rates
8.12.19: Lending Rates Fall Dramatically
An unexpected rapid decline in the 10-year Treasury and swap yield has driven down loan rates for CMBS conduit loans and other commercial loans tied to these indexes. The 10-year swap has declined an astounding 100 basis points (bp) since May and nearly 40 bp in the last three weeks. Analysts are … [Read more...] about 8.12.19: Lending Rates Fall Dramatically
8.8.19: CBRE Reports on Cap Rates at Mid-Year
CBRE notes that capitalization rates (cap rates) were broadly stable in the first half of 2019 in its recently published survey for income producing commercial real estate (retail, office, industrial, multifamily and hotel) as of June 30, 2019. Suburban multifamily cap rates tightened most across … [Read more...] about 8.8.19: CBRE Reports on Cap Rates at Mid-Year
3.26.19: Interest Rates Fall Substantially for CMBS Conduit Loans
Interest rates on CMBS conduit loans have decreased significantly in the last 30 days. Low leverage CMBS conduit loans (50%-60% LTV) are being quoted in the 4.25%-4.50% range, while full leverage (70%-75% LTV) loans are available at rates under 5.0%. Rates this low have not been available for a … [Read more...] about 3.26.19: Interest Rates Fall Substantially for CMBS Conduit Loans
3.20.19: Reminder: Indicative CMBS Conduit Loan Rates Are Posted on Our Website
Want to keep abreast of interest rates for CMBS conduit loans? Then visit our website each Monday for the latest rates. The rate sheet can be found on the homepage for valuexpress.com. Every Monday by noon we post a rate sheet with current interest rates for CMBS conduit loans. The rate sheet … [Read more...] about 3.20.19: Reminder: Indicative CMBS Conduit Loan Rates Are Posted on Our Website
3.10.19: CMBS Delinquency Rates Continue to Decline
The Trepp CMBS delinquency rate broke through the 3% threshold in February 2019 as the reading continues its steady decline. The February reading fell 15 basis points (bp) to 2.87% from 3.02% registered in January. The February result is another post-crisis low. The delinquency rate is 164 bp lower … [Read more...] about 3.10.19: CMBS Delinquency Rates Continue to Decline
2.26.19: CBRE Reports on Cap Rates at Yearend 2018
CBRE notes that capitalization rates (cap rates) were little changed in the second half of 2018 in its recently published survey for income producing commercial real estate (retail, office, industrial, multifamily and hotel) as of December 31, 2018.The industrial sector registered small declines in … [Read more...] about 2.26.19: CBRE Reports on Cap Rates at Yearend 2018
8.31.18: CBRE Reports on Cap Rates at Mid-Year
CBRE recently published its survey of capitalization rates (cap rates) for income producing commercial real estate (retail, office, industrial, multifamily and hotel) as of June 30, 2018. CBRE notes that cap rates were little changed in the first half of the year, with slight increases or decreases … [Read more...] about 8.31.18: CBRE Reports on Cap Rates at Mid-Year
9.12.17: CMBS Conduit Loan Rates Stable as CMBS Spreads Remain Steady
CMBS conduit loan borrowers are finding calm waters as spreads on CMBS securities have been stable at attractive levels for most of 2017 to date. In addition, the 10-year Swap rate, the benchmark index for setting interest rates on CMBS conduit loans, has remained in a relatively narrow range of … [Read more...] about 9.12.17: CMBS Conduit Loan Rates Stable as CMBS Spreads Remain Steady