10 Year Fixed Rate Apartment Loans Drop Below 4%

Rates have dropped on commercial real estate loans for multifamily (5+ units) loans. Here are three examples:

  • 90% fixed for 10 years, up to 75% loan to value, 30 year amortization, due in 30 years, minimum loan amount of $1,000,000.
  • 90% fixed for 10 years, up to 50% loan to value, 30 year amortization, due in 20 years, minimum loan amount of $2,500,000. For loans of $1,000,000 to $2,499,999, the rate is 4.025%.
  • 95% fixed for 10 year, up to 55% loan to value, 30 year amortization, due in 20 years, minimum loan amount of $3,000,000. For loans of $1,000,000 to $2,499,999, the rate is 4.075%.

These are rates for A or B quality properties in larger metropolitan areas with strong credit borrowers and larger loan amounts. Not all properties will qualify. But they are indicative of more aggressive pricing we are seeing from multifamily lenders in recent weeks in effort to secure new business.