What are typical interest rates right now

6 Replies

I did a quick Google browse and the numbers are all over the place. Generally speaking we pay cash for everything but on this one we may move forward with doing a loan - at least initially to secure the property. Would like to hear from people on interest rates and get their feedback.

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Hey Michael,

Are you referring to multifamily or something like retail or office?

The rates are very hard to quote without knowing specifics of the deal, the market and sponsorship. At the moment we are seeing around 4.25% - 5%, depending on those factors above. I've been quoted 3.65% on one deal however the sponsor is worth high millions and the property is giant and the loan amount is $62M. For retail properties, we have been getting quotes in the mid to high 4's. Multifamily generally is more competitive as far as rates go.

Let me know if you have any other questions!

My numbers confirm Mike Ablan's reply:

Freddie Mac 4.6% - 4.9%
Fannie Mae 4.7% - 5.4%

These are based on my last deal's specifics (LTV 55%, DSCR 1.30, loan of $4m).