Commercial Lending Loan Spread Rate Update - July 9, 2024

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#RateUpdate

Halfway through the year as Q2 comes to an end.

The Fed Minutes from last month’s meeting and comments from Fed Chair Powell reveal a slightly dovish and highly data-dependent stance, with Powell indicating that the economy is returning to a disinflationary path and that significant progress has been made. The minutes highlight a "K-shaped" recovery, with higher-income households benefiting from rising asset prices and lower-income households struggling with increased costs. The potential risk of increased layoffs in a cooling labor market influenced a rally in the 10-year Treasury yield, which fell below 4.30% from a recent high of 4.50%, as markets anticipate the upcoming jobs report for further insights.

As yields fluctuate, "current rates" quickly become obsolete. However, spreads remain applicable and fitting to deal characteristics. Though rates are important, having a well articulated and defined debt plan matching your long-term investment plan is vital. The experts at CommCap are here to help you understand goals and navigate the current market providing access to multiple lending sources, early rate-locks, cash out refinancing, and more.

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As your exclusive advisors, CommCap utilizes proprietary systems, market expertise, and years of experience to secure aggressive financing options that best fit your property. Exclusive correspondent and servicing relationships with Life Insurance Company, CMBS, and Agency lenders ensure a broad and in-depth representation of current market conditions. Our team of advisors craft a loan structured to enhance revenue and allow you to focus on increasing cash flow.

We do not list, sell, manage, or lease property. We only arrange financing and are the best at what we do.