Demand for Commercial Real Estate Loans is on the Rise

By Walter Kurtz, Sober Look

Investors seem to be showing a great deal of interest in US commercial real estate. The Fed’s survey of loan officers is showing rising demand for┬ácommercial real estate loans, which has recovered dramatically. Some of this increase is driven by renewed activity in the CMBS market, as search for yield has created more opportunities for property loan securitization. According to JPMorgan, interest-only loans (equivalent to “balloon” mortgage) are on the rise and average loan coupon has been declining.

Source: JPMorgan

-------------------------------------------------------------------------------------------------------------------

Got a comment or question about this post? Feel free to use the Ask Cullen section, leave a comment in the forum or send me a message on Twitter.
Sober Look

Sober Look

Sober Look was founded by Walter Kurtz, a New York based hedge fund manager and credit markets specialist.

More Posts - Website

Comments