Apartment Loan in

Dallas

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Apartment Loan in Dallas:

Since April of 2000 Caffrey & Company LLC has been helping real estate investor’s nationwide find the best loan product for commercial real estate investment properties. Call for great rates for an apartment loan in Dallas. Caffrey & Company LLC has a special focus in Dallas apartment loans.  The most attractive, non-recourse loans terms start at $1,000,000 for multifamily properties.  Therefore, if you are looking for low interest rates, a non-recourse loan up to 80% of value (Over $7 million leverage up to 85% is available) you are at the right place.  These specialized apartment loan products are available in all of the suburbs including: Aledo, Annetta, Annetta North, Annetta South, Argyle, Arlington, Azle, Bartonville, Bedford, Benbrook, Blue Mound, Colleyville, Copper Canyon, Corinth, Corral City, Cross Roads, Crowley, Dalworthington Gardens, Double Oak, Edgecliff Village, Euless, Everman, Forest Hill, Haltom City, Haslet, Hudson Oaks, Hurst, Keller, Kennedale, Lake Dallas, Lake side, Lakewood Village, Lake Worth, Lincoln Park, Marshall Creek, North Richland Hills, Oakpoint, Pantego, Pelican Bay, Reno, Richland Hills, River Oaks, Roanoke, Saginaw, Sanctuary, Sansom Park, Shady Shores, Southlake, Trophy Club, Watauga, Weatherford, Westlake, Westover Hills and Westworth.

Let’s take a look at the multifamily market.  Is the Dallas-Fort Worth area a good place for apartment building investments?  The information below is as of June 2024:

  1. The North Dallas suburbs experienced strong net absorption, surpassing 8,000 units during the first quarter of 2024, the largest total among major U.S. markets.
  2. Greater Dallas led the country with a net absorption tally above 6,200 rentals, with standout submarkets including Frisco-Prosper and Allen-McKinney, where net absorption eclipsed 1,000 units.
  3. Despite strong demand, areas closer to the urban core or in more rural outlying counties ranked in the top 10 for annual rent growth, with Northwest and Southeast Dallas, as well as Oak Lawn-Park Cities and Zang Triangle-Cedars-Fair Park, posting annual rent gains above 3 percent.
  4. The supply pressure is more pronounced in Fort Worth, with roughly 25 percent of units in Fort Worth-Arlington offering concessions in the first quarter of 2024.
  5. This aligns with the inventory growth, as Greater Fort Worth’s apartment supply surged by 4.4 percent annually as of March, while Greater Dallas’ stock rose by 3.4 percent.
  6. The historic supply influx lifts vacancy for a third straight year to 7.9 percent, the highest level since 2010, while net absorption is on track to surpass 27,000 units in 2024, which is the second-largest figure on record.
  7. The average effective rate is expected to climb to $1,548 per month in 2024 despite the historic supply influx accelerating concessions and pulling down rent growth, particularly evident in Fort Worth submarkets.
  8. Dallas-Fort Worth’s 2024 job addition is expected to be modest, with the Metroplex leading all major markets on a national scope.
  9. At least 6,800 apartments opened in every quarter spanning the past year, producing year-over-year inventory growth of 3.7 percent.
  10. Local supply surged by over 15 percent annually in Burleson-Johnson County, Rockwall-Rowlett-Wylie, and West Fort Worth-Parker County.
  11. The most severe increase in vacancy was within Class C units, with a 190-basis-point year-over-year lift to 8.2 percent, while the smallest adjustment was a 50-basis-point rise to 6.7 percent in Class A units.
  12. Rent growth trends were uneven across apartment segments, with the Class C tier posting a year-over-year gain of 3.1 percent, while Class A had a modest 1.2 percent bump, and the Class B average dipped 1.7 percent.
  13. Annual supply growth rates above 10.0 percent accompanied rent declines beyond 3.5 percent in Allen-McKinney and Rockwall-Rowlett-Wylie.
  14. Preliminary estimates indicate that transaction velocity during the first quarter of 2024 was down roughly 25 percent relative to the same three months of the prior year, with elevated borrowing costs remaining a substantial challenge for penciling deals.

Multifamily Loan Underwriting:

Each loan product has unique underwriting requirements.  Above all, how the loan data is presented to the lenders can have a negative or positive impact on pricing and loan proceeds.  We offer this expert loan underwriting for an apartment building loans in Dallas.  Therefore, this will help to achieve the best pricing and loan terms for your commercial real estate investment.

Free Loan Quote:

We encourage our clients to submit key property level data for a free loan underwriting review.  This initial loan underwriting normally takes less than one business day for us to respond with several apartment loan options for you to consider.  Here is a short list of property level data that would aid in providing a loan quote:

Required Underwriting information needed:

  • Last two years and Year-To-Date detailed Profit and Loss statements (in addition a trailing 12-month P&L is best if available) on the apartment complex.
  • Current Rent Roll
  • Brief narrative description of the property.
  • If available a few electronic photos. Or a copy of the real estate agent’s marketing package.
  • What is the purpose of the loan? Acquisition, Refinance, cash out, re-position the property (renovations).

Next we will need to understand your investment objectives.  How much do you wish to borrower on the apartment complex?  Is this a long-term investment or short-term investment?  In other words outline your apartment loan in Dallas loan request.

We understand the financing of an apartment complex is a very important component of your investment.  Therefore, we encourage our client to send us details on the property before finalizing the purchase and sale contract for an indication of the type of loan that might be available to a particular property.  We can review and provide some up front loan options.

Fixed Rate Loan Terms are Available for Multifamily Properties:

Loan terms are available from 3-years up to 35-years (40-years for new construction on loans over $7 million).  The Apartment buildings can be Garden Style, High Rise, Age Restricted, Student Housing, Section 8 Tenants and subsidize properties.  There must be at least 5-units.  If you have several buildings all with five or more apartment units that you wish to place under one loan no problem, the buildings should be within 3 to 5-miles from the other properties for best loan terms.

How long will it take to close the Loan?

The closing process normally takes between 45 and 55 days to close an apartment building loan in Dallas.  Closing costs vary between loan products.  Before you reach for your checkbook  we will provide a detailed estimate of the anticipated closing costs.   At this stage you will know the loan product, the loan terms, and the anticipated closing costs to allow you to make an informed decision before moving forward.

In conclusion you find details on several loan products by following these links: Freddie Mac, Fannie Mae, HUD/FHA, Commercial Mortgage Back Securities (CMBS) and other loan products.  Want more details and sample interest rates for apartment check out Interest Rates for Apartment Loans also on our web site:   Apartment Loan Interest Rates.

Keep Caffrey & Company in mind when searching for a Texas lender for apartment loans. Have a question please call:  Mike Caffrey (913) 402-7077 or email: [email protected]


On our web site you can read about specific loan products: www.caffreyloans.com/loan-products, offered by Freddie Mac, Fannie Mae, HUD/FHA, Commercial Mortgage Back Securities (CMBS) and other loan products. Want more details on sample interest rates for apartment check out Interest Rates for Apartment Loans also on our web site: www.caffreyloans.com/apartment-loans.

Have a question please contact
Mike Caffrey
Telephone: (913) 402-7077
[email protected]
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