Today's Multifamily Mortgage Rates
Read About Multifamily Mortgage Rates or Reach out Directly for a Custom Quote
Rates vary depending on leverage, location, asset class, DSRC, and other factors. Fill out the form below to speak with a commercial and apartment real estate lending specialist to discuss rates from Fannie, Freddie, CMBS, HUD, Banks, Life Companies and more; at no cost, pressure sale, or obligation to you.
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Multifamily loan rates fluctuate daily. Conventional loan products such as Fannie Mae, Freddie Mac, CMBS, and traditional bank loans work off of an index plus a spread. For example, a Fannie Mae multifamily loan may be 200 basis points (2%) over the ten year treasury. So, if the ten year treasury is 1.900%, then the effective rate would be 2% + 1.9% = 3.9%. Spreads are determined by the lender and the chosen product (5 year, 10 year, interest only options, etc), and then the range of the spread will be determined by things like the property type, property class, location, income, borrower, and so-on. Spreads also fluctuate with the market, so one won't know his rate down to the basis point until the rate is locked when it comes to CMBS, Fannie, and Freddie. Banks and life insurance company multifamily loans may offer a bit more flexibility and less of a focus on spread variations. This is particularly the case with recourse loans versus non-recourse loans. Full recourse loans will allow the borrower a little more flexibility in other areas of the loan, since he is attaching a personal guarantee. Today's interest rates for the primary indexes used for CMBS and Fannie Mae and Freddie Mac are to the right. As a rule of thumb spreads are generally between 200 and 250 basis points over, but for specific spreads and break-outs (for example Fannie Mae does't use SWAPS whereas Conduit lenders do. Please contact us for a free quote and today's specific spreads.
Today's Rate Ranges
Rates are approximate ranges, and fluctuate by the moment with indexes such as the ten year treasury, LIBOR, SOFR, and others. Furthermore there is extensive underwriting that goes into each loan with considerations such as NOI, DSCR, sponsorship, market, property class, and more. The following are an approximation of where today's multifamily and commercial mortgage rates are.
Starting at 200 bps over relative Treasury
Fixed rates vary, floating rates from 2.30% over LIBOR
Varies, generally 6.00% - 9.00%
Varies, generally 12.00% - 18.00%
9.00% - 16.00%
Varies, generally 8.00% - 18.00%