Interest rates on bank-quality commercial real estate loans increased for all property types in December 2017 and remain high above their marks from a year ago. The yield on the benchmark 10-year Treasury Bond increased month-over-month, and bankers are starting to become a bit more cautions relative to CRE lending, accounting for the increase in borrowing rates. Multifamily property types remain consistently lower month-over-month. Other benchmark interest rates are available from the Wall Street Journal.
|Collateral Type||Change||Current Month||Prior Month||Prior Year|
DSCR: 1.5x (2.0x for hotel)
LTV: 70% - 80%
Maturity: 10 years
Amortization: 20 - 30 years