Hunt Mortgage Group, a leader in financing commercial real estate throughout the United States, announced today it launched a new fixed rate loan program. The fixed rate product offers borrowers a seven-year fixed rate loan collateralized by multifamily and commercial real estate properties for acquisitions or refinancing.
With this new product, Hunt Mortgage Group will provide loans from $7.5 million to $25 million nationwide. The program is designed to be attractive relative to providers of conduit debt as it allows borrowers to lock in spreads for a seven day period during the loan application process, and a 45-day period from the receipt of an executed loan application until the loan closes. The program also offers advantages relative to conduit debt as the loan closing is not subject to B-buyer review and loan servicing will be retained by Hunt Mortgage Group through the life of the loan.
“Hunt Mortgage Group is a leading national provider of agency loans for both traditional and affordable multifamily properties,” commented Barry Polen, Managing Director at Hunt. “This new loan product enables us to expand our stabilized lending products beyond our robust agency programs. This fixed product offers a unique financing option with a spread lock, surety of close and continuity with Hunt Mortgage Group for the life of the loan.”
The initial capital earmarked for the program is $300 million. As customer demand grows, more money is expected to be allocated to this effort. Hunt Mortgage Group’s Proprietary Loan Program, which was started in 2014, has quickly expanded to finance most commercial asset classes in addition to multifamily. Recently the Proprietary Loan Group has been extremely successful in the Bridge lending space.
“Our new seven year fixed loan product presents financing competitive with conduit lenders, yet offers a better all-around client experience,” added Mike Becktel, Managing Director of Hunt Mortgage Group. “This Proprietary Hunt Mortgage Group program allows us to provide a balance sheet lending solution, where we fund these loans directly in-house with the Hunt Companies support.”