When it comes to financing multifamily and commercial real estate, the assumption that a bank is the sole option for borrowers is far from the truth. In today’s dynamic market, while banks and credit unions play a role, there exists a multitude of alternative financing options.
Getting started in commercial real estate can be lucrative, but it’s important to approach it strategically.
Allocating capital is a complex process, involving individual investor criteria and the consideration of the most suitable risk-return profile. The capital stack can help simplify this decision-making process.
Industrial real estate appears to have reached an inflection point and is poised to bounce up next year as the sector normalizes in the wake of the pandemic, according to a research notes.
Cap rate, short for capitalization rate, is a crucial metric in the world of real estate investment. It serves as a benchmark for comparing property values and offers a quick estimate of your expected return on investment (ROI). In essence, cap rates can be distilled into a simple formula:
Cap Rate = Net Operating Income (NOI) / Current Market Value
Acquiring and rehabbing properties can be the key to successful real estate investments. It not only increases resale value and profit but also allows investors to enter new markets and diversify their portfolios.
Financing your growth and expansion is crucial, and the Small Business Administration (SBA) loan program offers a wide range of credit options with extended repayment terms and small down payments. Before you dive into the application process, it’s essential to understand how SBA loans work and explore your program options. In this guide, we’ll walk you through the key steps and benefits of SBA financing.
Investing in real estate is a very lucrative business, but you can only succeed with access to capital.
Private and hard money loans are great options for real estate investors because they give you access to capital with fewer requirements and greater certainty.
Low supply and strong demand will limit the extent home prices depreciate. If our forecast for Fed rate cuts is realized, mortgage rates are likely to fall slightly, which will spur an improvement in sales activity and reignite home price appreciation heading into 2024.
Long term rental loans, or DSCR (debt service coverage ratio) loans, have become popular in recent years for investors looking to buy and hold properties. Borrowers love them because these loan types allow them to qualify for a financing using their property’s cash flow rather than their income, and lenders love them because they can be highly accretive to their loan portfolios held for investment.
Now is an ideal time to review your commercial real estate financing that may be maturing within the next two to four years and determine whether it would be beneficial to refinance in advance of the scheduled Maturity Date. Consider key factors, such as the ability to lock in a new rate and access equity or reduce risk with an extended term, while also weighing pre-payment terms to determine how much may be saved over the term of a new loan.
INSIGNIA Financial Services provides access to comprehensive debt placement and equity syndication for all your commercial real estate financing needs, including conventional agency financing, permanent financing, bridge loans, rate and term refinances, cash-out refinances, investment equity lines and loans, as well as acquisition and rehab loans
INSIGNIA Investor DSCR+ Loan
DSCR as Low as .75x
620 Minimum FICO
Cash Out Up to $750K
85% LTV with a 720+ FICO
Loan Amounts Up to $2.5MM
Interest Only Up to 80% LTV
No Personal Income Qualifying
First Time Investors Welcome
LLC, LP, Corp, or Individual
Warrantable & Non-Warrantable Condo
Good cause eviction legislation has been gaining momentum in recent months, especially in New York state. Since last summer, four upstate cities have passed good cause eviction laws, including Albany, Poughkeepsie and Newburgh. Meanwhile, smaller towns like New Paltz, Kingston, and Hudson are also considering passing similar bills.
The year that just ended was dominated by a new variant of COVID-19, and the surge in the Omicron strain meant a
Could agency lending be the right fit for your multifamily investment? While there are many options to consider when financing your multifamily property, INSIGNIA is here to help you navigate the process. For more information, talk to one of our multifamily experts or get an instant quote through our instant quote tool.
Time is running out for businesses to get COVID funding from the Small Business Administration. Are you leaving money on the
The vast majority of apartment properties are performing well despite the crisis caused by the coronavirus; however, that may change if lawmakers do not renew or replace the programs supporting millions who lost jobs or income, according to mid-2020 forecasts from economists at three apartment market research firms.
On March 27, 2020, the President of the United States of America enacted the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), that increases the maximum Small Business Administration’s 7(a) loan amount to $10 million and would expand allowable uses of 7(a) loans to include payroll support (including paid sick or medical leave), employee salaries, mortgage payments, insurance premiums and any other debt obligations.
INSIGNIA loves working with investors in single family rental (SFR) properties (single family, townhouse, condo, 2-4 unit) due to their defensive nature and durable moat. Given the late stage of the market cycle, we are seeing a focus on affordable housing since investors largely believe this sector will outperform higher class housing in a recession. Multifamily investing is an excellent strategy, but requires a little more sophistication and capital when done properly.
Competition among investors for single-tenant net-lease properties intensified last year, sending cap rates down to historic lows, and the widespread eagerness to buy in this market may not slow down in 2020, according to a Q4 net-lease report by Wilmette, Illinois-based The Boulder Group.
Industrial properties have been highly sought-after by investors for the past several years. Will that trend continue in 2020?
With strong rental growth and lower interest rates, the time looks favorable for acquiring more single-family rentals.