Loans for Apartments:
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 commercial and multifamily properties. Caffrey & Company LLC has a special focus in providing a Milwaukee apartment loan. The most attractive, non-recourse loan 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 $5 million leverage up to 83% to 85% is available) you are at the right place.
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 a Milwaukee apartment loan. Therefore, this will help to achieve the best pricing and loan terms for your commercial real estate investment. 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, reposition the property (renovations).
Next we will need to know your objective, 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 loan request.
We understand the financing of an apartment complex is a very important component of the 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.
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 $5 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 partment 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 the loan. Closing costs vary between loan products. Before you put any funds out 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.
Multifamily Data for Milwaukee, Wisconsin:
Developers continued to show confidence in the health of the Milwaukee apartment market as over 1,900 units came online in the last year. Latest deliveries to hit the market were nearly on par with the previous year. Twenty-three properties were under construction at the end of the first quarter of 2021, which is scheduled to add 2,650 units by year-end 2022. One factor underpinning developers’ confidence in the Milwaukee apartment market was the resilience of the economy as employment in March 2021 stood at 94% of pre-pandemic levels. Another factor was persistent apartment demand driving positive net absorption in the last year, even with the pandemic.
Household Income is on the rise:
Median household income increased nearly 8% in the last year, providing apartment operators with more leeway to raise monthly effective rent 3.8% to $1,230 in the first quarter of 2021. Latest annual rent growth accelerated from 3.2% during the year before. Additionally, the metro’s annual rent share of wallet stood at 20.3% compared to the U.S. average of 24.8%. The Metro is showing signs of easing COVID-19 restrictions, with the Milwaukee Board of School Directors voting to approve an amended plan to return to in-person learning.
Milwaukee Economic Trends as of First Quater of 2021:
The Milwaukee unemployment at the beginning of 2020 3.5% as of the end of the first quarter 2021 4.6%. Jobs have not recovered from the Pandemic with the area reporting 870,600 jobs in eary 2020. This same period in early 2021 reported 817,500 jobs in the market place. The Milwaukee Metro reported a small increase (0.20%) in total population to 1,600,000.
In conclusion can read about specific loan products. 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 Wisconsin lender for apartment loans. Have a question please call: Mike Caffrey (913) 402-7077 or email: Mi[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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