The game is changing! Interested in buying or refinancing a property? This month we experienced first hand what have been trendy headlines for months now: banks are tightening their belts. In a rapidly appreciating market like SLC, our strategy has been to value add, thus creating forced appreciation. After appraising two of our properties, one came back much lower than expected. Why?
Banks are planning for a future market: appraisers are factoring in interest rates hikes when using comps, banks are no longer offering 30 year amortized loans for commercial properties, and finding an investment with a >70% LTV will be hard. If looking to buy, find multiple loan brokers to look for the best terms on your dollar!
