Small Balance Multifamily Lending Hits New High; Cap Rates Compress
Download your free copy of the Spring 2016 Small Balance Multifamily Investment Trends Report.
Produced by Chandan Economics and ALEX Chatter, the Spring report found that the volume of new multifamily loans with original balances between $1 million and $5 million climbed to approximately $44.3 billion in 2015. That year-end total reflects at 5.7 percent rise from the 2015 volume of $41.9 billion.
The research also shows that cap rates for multifamily assets backed by small balance loans, including those sold and refinanced, declined in Q4 2015 to a national average of 5.9 percent.
Interested in learning more? The full report goes on to examine detailed trends in cap rate spreads between small balance and all multifamily properties; DSCRs; debt per dollar of NOI; and LTVs.