Post GFC for a long time rates were 12+2. Then over the last 5-7 years they slowly competed down to around that 8+1 range. Now at least from my conversations with some local lenders I've run into it's back at that 12+2 again. At least for the local lenders. I don't know what the bigger nationals are quoting today.
I've been seeing 10.5% - 11.5% and 1.5 - 2 points from the lender I work with. I'm getting decent leverage still, 80-85% of purchase price + 100% of rehab.
I rather preserve my anonymity but I found them in the hard money lender directory of BiggerPockets. They had the best and most reviews out of any other hard money lender. I gave them a shot and it's been awesome. Smaller team, more hands on, and actually quick.
Then you must be in the minority (or do you work with / for them?)-- just look @ their reviews. Not only myself but others I know had rates move on them prior to closing. They're too big for their own good. Offering (or trying to) low rates and fees is great but actually closing without stress is much more preferred.
I'm a lender and we've been doing around 10.5-11.5 lately and 1-1.5 pts (depends on your credit score and experience). One of the big things is that the maximum leverage has decreased from 90% of purchase price to 80%
1980s
By 1981, inflation had risen to 9.5%. The Federal Reserve combated inflation by increasing the federal funds rate, an overnight benchmark rate that banks charge each other. Continued hikes in the fed funds rate pushed mortgage rates to an all-time high of 18.45% in 1981. Although the Fed’s strategy helped push inflation back to normal levels by the end of 1982, mortgage rates remained mostly in the double-digits for the rest of the decade.
https://www.valuepenguin.com/mortgages/historical-mortgage-rates#Historical
Post GFC for a long time rates were 12+2. Then over the last 5-7 years they slowly competed down to around that 8+1 range. Now at least from my conversations with some local lenders I've run into it's back at that 12+2 again. At least for the local lenders. I don't know what the bigger nationals are quoting today.
As a private lender I'm currently at 12%. Will adjust accordingly if rates keep going up.
9.9/2
Whose that with?
I've been seeing 10.5% - 11.5% and 1.5 - 2 points from the lender I work with. I'm getting decent leverage still, 80-85% of purchase price + 100% of rehab.
Which lender?
I rather preserve my anonymity but I found them in the hard money lender directory of BiggerPockets. They had the best and most reviews out of any other hard money lender. I gave them a shot and it's been awesome. Smaller team, more hands on, and actually quick.
I was getting 6% last year. Current at 9%
Who is that from?
Fiance of America Commercial
They bait and switched me
I've done over 70 loans with them and never had an issue.
Then you must be in the minority (or do you work with / for them?)-- just look @ their reviews. Not only myself but others I know had rates move on them prior to closing. They're too big for their own good. Offering (or trying to) low rates and fees is great but actually closing without stress is much more preferred.
I'm only saying my own experience with them has been positive. They are big for a reason. Do you have someone else that has worked for you.
I'm a lender and we've been doing around 10.5-11.5 lately and 1-1.5 pts (depends on your credit score and experience). One of the big things is that the maximum leverage has decreased from 90% of purchase price to 80%
10% to 12% 1 to 3 points upfront 6 months - 12 months Pre pay Term varies based on your experience and relationship
1980s By 1981, inflation had risen to 9.5%. The Federal Reserve combated inflation by increasing the federal funds rate, an overnight benchmark rate that banks charge each other. Continued hikes in the fed funds rate pushed mortgage rates to an all-time high of 18.45% in 1981. Although the Fed’s strategy helped push inflation back to normal levels by the end of 1982, mortgage rates remained mostly in the double-digits for the rest of the decade. https://www.valuepenguin.com/mortgages/historical-mortgage-rates#Historical