A Closer Look At Commercial Mortgage-Backed Securities Heading Into 2018

Commercial mortgage-backed securities are still an important part of the real estate industry. Their role has evolved over the past decade, however.

Mortgage-backed securities got a bad rep following the market crash that occurred between 2008-2009. Despite this, commercial mortgage-backed securities (CMBS) have become one of the most important players in the modern commercial real estate industry. Even if you aren’t planning on doing business with a CMBS, it pays to be an informed investor. Understanding how CMBS are performing, as well as how their success or failure impacts the rest of the industry (and visa versa) is invaluable information regardless of what your company’s plans for real estate investment.

The following is a quick overview of how CMBS are currently performing and where we can expect them to be as we head into next year. Be sure to take this information into account as your company plans its real estate investment strategy for 2018. Poor planning can result in wasted capital and minimized return on your company’s investment.

● Experts No Longer Expect CMBS To Collapse - One major fear regarding CMBS over the past few years has revolved around as 10-year maturity dates, taken out in 2007 and set to be paid in 2017. An massive acceleration of declines was expected to send the market spiraling out of control. So far, this hasn’t happened yet.

Instead, the Mortgage Banker Association reported that defaults more or less leveled out across the first quarter of 2017, reports RE Journal. How did the industry avert disaster? It turned out that many of the properties headed for delinquency in 2017 were sold or foreclosed on years earlier. In essence, the market corrected for itself, spreading out the spike in delinquencies across half a decade rather than imploding dramatically this year. This is fantastic news for investors, as stability encourages the entire market to spend more aggressively.

● Issuances Of New Capital Are On The Decline - While it seems that CMBS have averted a long expected crisis, these financial institutions do face some major challenges. First and foremost, the rate of new commercial mortgage issuances continues to lag far behind the market’s performance in 2007. Compared to the approximately $229 billion in loans secured in 2007, just about $70 billion of issuances are expected to be written by the end of 2017, said the National Association of Realtors. Increased competition from new types of lender has made life difficult for CMBS. Thankfully, the market remains dynamic, providing opportunities for innovative CMBS to thrive.

Find Out More About The Latest Real Estate Industry Area Trends In Your Area Before Making A Move

Hopefully this overview of commercial mortgage-backed mortgages acts a reminder for real estate investors: You never know when you’ll need to change up your strategy to keep pace with the market.

Staying up to date with all the latest developments in the dynamic commercial real estate market can be tough without help.

Keep up to date with this blog, review other online resources or reach out to your local private commercial lending expert if you have more questions about CMBS or other aspects of commercial real estate.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

What to Ask Yourself Before Applying for a Texas Commercial Loans

Before applying for a Texas Commercial Loans, there are some things you should keep in mind to make sure your business affairs are in order. This way, you can increase your chances of getting approved for the finances you need.

“What do I need a loan for?” Determining what you need the loan for and how you will use the funds will help you decide what type of loan you need. You should also do some research about the types of loans available to you and how each can best benefit your needs. Develop an outline of what you will use the money for and then match those needs with the loan options available to make sure you get the best one for your business.

“How much do I need to borrow?” It’s important to have a specific amount that you will need, without going to far over that number. Reviewing your current bills, statements, payroll, etc. or determining how much you need to purchase equipment, for example, can help you fine-tune the Commercial Loans amount.

“How much can I afford to borrow?” You will need to asses how much you can actually afford to borrow, and how your company will be able to comfortably pay back each month while still keeping up with payroll, vendor/supplier invoices and other financial commitments. Keep in mind that the more you borrow, the higher your monthly repayment increments will be. You will need to be able to manage those payments properly. You can often do a quick estimate with an online loan calculator to get a rough estimate of how much your monthly payments will be based on the amount borrowed.

In order to qualify for a Texas Commercial Loans, you also will be required to present certain documentation to the bank or lender during the application process.

When preparing your business to pre-qualify for a loan, you should have the proper paperwork in order and ready to present. Proof of specific documentation varies depending on the type of loan you are applying for but often include: a business license, past bank statements, recent tax returns both personal and business, recent balance sheets, a business plan, and a credit report.

Before you apply for a Texas Commercial Loans, you can do some research online to determine your needs and the type of loan that is best for you.

The more prepared you are prior to meeting with a bank or private lender regarding the loan, the smoother and easier. Having your business affairs and documentation in order can greatly increase your chances for loan approval. So before you dive into the application process, make sure you've asked yourself the right questions and put your paperwork in order to get the loan you want to help grow your business.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

Choosing the Right Texas Commercial Mortgage Lender for Your Business

When shopping for a Texas Commercial Mortgage lender, there are multiple things to consider before making your choice. Read on for tips on how to choose the right lender to ensure a successful transaction and the right loan for your business.

Make sure the fees and interest rates are fair and within reason for what you can rationally pay back in the proposed repayment structure. While the loan will have an annual percentage rate, it’s not the only costs you’ll incur as part of the loan. You can ask about a detailed cost breakdown and also a “good faith estimate” that should include all the fees you will be expected to manage with your loan. It’s a good idea to also ask about any “hidden fees” or penalties that may not appear in the proposal.

Review your options when it comes to what types of loans are available, and which will best serve your business’s needs. Whether short term, long term, equipment financing, green building, SBA or other, there are many options and you should feel confident that your lender has or will present all of your choices and also offer their professional advice on which loan would be most beneficial for you and your company.

As with any business, customer service should be taken into consideration when selecting the right Texas Commercial Mortgage lender to do business with. Are they professional, friendly, helpful and willing to meet your requests with hesitation? Are you able to get in touch with them right away and directly or do you often get the “runaround?” In addition to being skilled in finding you the right loan, there should be a level of customer service that meets your expectations. Ask yourself these important questions prior to making your decision.

You’re not the only one who should undergo a background check — do your homework and research your lender’s background.

The importance of doing business with a reputable lender cannot be overstated. Make sure the lender you move ahead with has a good reputation. You can even ask for references or testimonials from the lenders you are essentially “interviewing” to take on the job of finding you the best Texas Commercial Mortgage loan.

As with many things, ultimately selecting who will serve as your Texas Commercial Mortgage lender all comes down to trust.

Do you have a good connection with this individual? Do you feel that he or she truly has your best interests at heart? Yes, the loan will benefit this person as well, but they should be putting your business needs as their top priority — not their bottom line. Make sure you feel comfortable with having your business finance needs in this person’s hands. If you have reservations, it may be time to keep shopping.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

The Benefits of Getting Texas Commercial Loans for Equipment

For businesses that need a lot of expensive equipment to start or grow their businesses, Texas Commercial Loans can be the ideal avenue for cash advance. Equipment loans have their own unique set of specifications so here are some tips to help you understand the requirements, pros and cons of this type of loan.

An equipment loan is designed expressly for a bank or lending company to extend most of the financing typically 80 to 90 percent needed to purchase equipment for the business, with the business owner responsible for the other 20-10 percent as well as repaying the Texas Commercial Loans in monthly increments.

There are different types of equipment loans, and a variety of lending options from conventional banks to alternative lenders such as credit unions and online sources that are reputable. Even the United States Small Business Administration offers backing for equipment loans.

There are many upsides to obtaining an equipment loan. These include reasonable payment schedules, relatively low interest rates, and the ability to use the equipment to be purchased as collateral. Most importantly, this type of loan makes it possible for new and small businesses to purchase the expensive equipment they need to get their business off the ground or grow it.

As with any type of Commercial Loans, in addition to the benefits, there are also some downsides to consider with an equipment loan.

First of all, you must have good credit to qualify for this type of loan; and equipment financing also requires a down payment that may be too substantial for a small or new business to manage. Sometimes, the loan’s terms may outlive the lifespan of the equipment. However, even it that is the case, you will still be required to repay the full amount of the loan even if the equipment breaks or stops working all together.

For the most part, equipment Texas Commercial Loans can be a very helpful way for businesses to get started without having to front all the cash for the pricey machinery they need.

Seeking the counsel of a professional lender can help answer your questions about how to proceed with applying and getting approved for equipment financing. It’s important that a business have the proper equipment in place before opening its doors or in the case of expansion and the right lender can help you recognize your needs and get the equipment loan that is right for your business. Lenders can also help negotiate terms for you and help you sort out the exact documentation and paperwork you will need to apply for the loan. When it comes to equipment financing, do your research, weigh your options and talk to a professional before moving ahead.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

How to Build or Repair Your Credit to Score Commercial Loans

It’s no secret that a clear credit history and a high credit score are important factors banks and lenders look at closely when reviewing a loan application. However, even businesses that have yet to establish a good credit history or a high credit scores can repair their credit to they can obtain commercials loans, with these tips.

First you need to take some time to review your credit history by obtaining your report from one of the three recognized credit bureaus. Really scrutinize your business habits that have led you to earn less than desirable credit. Seeing the report can also help you recognize how you can break these patterns so you can make progress towards improving your credit.

While accumulating some debt is okay, you don’t want to have too much. Paying down the amounts you owe can be very helpful in improving your credit score and getting approved for Texas Commercial Loans in the future. Look at your budget and try to tighten your expenditures so you can put a little more money towards paying down your debts each month. If you have several credit outlets to which you owe, you may also be able to roll them into one so that you can negotiate better interest rates and terms of repayment. Having just one payment can also help you stay organized, and make sure your payments are timely.

Be upfront with suppliers or vendors about your situation, and ask the ones you have good business relationships with to make a report on your behalf. It’s important that your payments to your suppliers and vendors are always made, and made on time. Being in good standing with vendors and suppliers can help give your credit score a much-needed boost.

Closing your unused accounts can also make an impact on your credit score and ultimately make your company more likely to be approved for Commercial Loans.

Take the time to review your accounts and make the request to close any that you are not actively using and that have been paid off. Be sure to request a letter from the creditor that proves the account has zero balance and has been closed.

You need to recognize that repairing bad credit isn’t always easy, but securing Texas Commercial Loans is a lot easier with a solid credit score and clean record.

You will need to make some significant changes to the way to handle your business finances and even day to day business activity. But it can be done, and it’s worth it — with good credit, you are able to earn better loan terms and rates and ultimately you will have better business opportunities for your company. So what are you waiting for? There’s no time like the present to start a good habit!

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

How to Manage Business Finances with the Help of Commercial Lending

One of the best ways to loosen a tight cash flow situation or get your small or growing business off the ground is through a short term loan. Once you’ve secured capital via a Commercial Lending Texas outlet, you need to manage those finances to ensure you can continue to build your company while also paying back the loan.

Even when backed with the cushion of some commercial lending, as the owner of a new or expanding business, you have a lot of financial responsibility. It is important even as you are just getting off the ground, to keep your business and personal finances completed separate. You should have a separate bank account and credit card for your business, in your company’s name – not your own. This is essential in staying organized and also when it comes to establishing business credit and filing taxes as well. It is also helpful to begin establishing that credit in the event that you need a larger long term loan down the road.

Seek the help of professionals. You are the expert in your business, but that doesn’t mean you are in expert in every business. Finance in itself is a business that can make or break an up and coming company. Staying organized with business funds is extremely important and much of the basics can be done with the help of spreadsheets such as Excel or QuickBooks. However, finances and other areas of business often need the assistance of a professional in their chosen field. Enlisting an accountant, marketing professional, or social media manager, for example, to help you focus on other areas of the business as you focus on the core of the company can be essential to proper growth and development.

As your business grows, continue to fine tune the direction your business is going and put in place a set of “checks and balances” to ensure you are meeting your company’s goals and continuing to build new goals as you grow. Organizing your monthly “to-dos” such as invoicing, payroll, inventory, etc. is a good way to set a habit of doing these things in an orderly and timely manner. Consistency is a huge part of a successful business.

If you think your business could use a Commercial Lending Texas outlet, do your research first.

Getting a loan for your small business can help you stay on target with paying bills, handling payroll or purchasing much-need inventory or equipment. Starting with a simple online search, you can find out a lot about the type of loan you might need and the right lender to help you get it.

Commercial Lending Texas professionals can help get you the loan you need to take your business to the next level.

A short term or working capital loan is sometimes all a new business needs to start establishing the business credit and credit history and required for eligibility for a long term loan further into the development of the company. Find the lending professional who will work with you to negotiate terms of the loan that will work for you and then tightly manage your loan capital.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Technorati Tags: commercial loans,commercial lending,commercial mortgage

How to Apply for Short Term Commercial Loans

Applying for short term Texas Commercial Loans is a much different process than applying for a long-term loan. There are many options and ways to increase your chances of eligibility for the loan your business needs.

Before applying, doing some background research online can help you determine the type of lender you want to go through for your loan. You can go through a traditional bank or alternative lender options. There are a number of professional lending organizations that can streamline the loan process online. By checking online, you can do a little comparison pricing to find a lender who can work with your needs.

There are also simple loan calculators online that can help you determine the repayment structure based on the loan amount you are requesting. Doing this can help you figure out if and how you will actually be able to manage the repayment terms within short term commercial loans schedule.

You can event apply online. All you need to provide is some standard information about your business. However, as the application process moves forward and depending on the lending company, you will also likely have to provide further documentation such as your credit report, proof of assets, your most current tax returns, balance sheets, and proof of ownership. After those are approved, the lender will present you with a loan agreement proposal — which may or may not be negotiable. Once you agree upon the proposal, additional paperwork will need to be signed to finalize the loan, Typically, after that, funds are available in about a week. This is one of the best benefits of this loan – the quick turnaround for cash in hand.

If you are not satisfied with the terms of the proposal, don’t be afraid to shop around for the right short term Commercial Loans for your business.

Just because one lender’s terms are such, doesn’t mean another’s will be the same. Negotiate or continue the search to find the lender who will agree upon a loan that works for your business’s needs and your ability to pay back the loan. You will need to make sure you are comfortable with the terms and payment schedule.

Short term Texas Commercial Loans can be an important asset to the growth and development of any small and growing business.

However, it takes the right lender to get the right loan. Take the time to research multiple lending options and companies before making a decision. When all is said and done, taking advantage of this type of loan can make all the difference in the successful outcome of your business.

Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC  Private Hard Money Lender
Arizona Tel:  (623) 582-4444
Texas Tel:      (512) 516-1177
Dennis@level4funding.com NMLS 1057378 | AZMB 0923961 | MLO 1057378
22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027
111 Congress Ave |Austin | Texas | 78701

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 42 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Technorati Tags: commercial loans,commercial lending,commercial mortgage