Rates As Of September 1, 2022
As we rapidly approach the fourth quarter of 2022, overall CRE activity remains stable. Although the US 10-year Treasury is up by over 150 bps compared to the beginning of 2022, Commercial and Multifamily mortgage loan originations increased 19 percent in the second quarter of 2022 compared to the same period last year.
After a steep rise in rates followed by several weeks of stability in early August, minor movement gave comfort to lenders and borrowers to take action. Though office remains challenged due to market volatility and industry uncertainty, lenders returned to retail and hospitality, which is great for the overall market. With regard to industrial and multifamily properties, the relatively less conservative underwriting standards for these property types reflect greater perceived stability in these sectors.
In a time of great economic volatility the statistics measuring the economy can be less reliable, especially when compared to long standing historical data. Working with lenders who provide early rate locks, certainty of execution, and greater flexibility can be a valuable tool to mitigate volatility in the financial markets.
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.