Interest rates in some markets are below 7%. Loan-to-value ratios, depending on the underwriting guidelines, are up to 75% and 80%. On credit tenant leased properties, the LTV is up to 90%.
"Notwithstanding the tragic events of Sept. 11, long-term interest rates are down to the low 7% range, making it an excellent time for investors to lock in their fixed-rate permanent financing for up to 15 or 10 years," David J. Patten, president, Interlachen Commercial Mortgage, Orlando, tells GlobeSt.com.
Patten says, "Thanks to the Fed's multiple interest rate cuts during this past year, the 10-year Treasury bond yield has dropped as well, to the 4.5% to 5% range."
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