Investment Mortgage Guy

To qualify, most banks are looking for a 70% loan to value ratio based upon the lower of the appraised value or cost to build a new construction apartment building in Minneapolis.  For example, if you have a project cost of $2,000,000, you will need to plunk down $600k to get your financing. Most of [...]

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Fannie Mae offers very competitive financing on apartment buildings in the Minneapolis and St Paul area. Fannie offers 3year, 5year 7 year and 10 year balloons with 30 year amortizations at rates most local banks can’t compete with. Local banks are not normally set up to offer Fannie Mae  financing like they can in the residential [...]

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 According to a recent report by Marcus and Milichap, the average cap rate on an apartment building in Minneapolis rose 80 basis points to the low 8 percent range during the last 12 months. The best class A apartment buildings in Minneapolis are in the 5 to 6 percent range and the some class C properties could [...]

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Many investors are taking advantage of the incredibly low interests rates right now on their apartment building financing in Minneapolis. Having all your documentation together is key for an accurate quote. Here is a list of items to help you prepare:
1) Description of your building – Number is units, photo’s, age and mixture of units.
2) [...]

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Rates for apartment building loans are seeing record lows. With vacancy rates in Minneapolis and St Paul approaching zero, banks are eager to help landlords put new financing on their properties.
Here are some same rates on September 22nd
FHA – 4.25%
Fannie Mae 5 year fixed – 3.75%, 7 year fixed 4.25% and 10 year fixed 4.75%.
Portfolio [...]

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Stan is a local apartment building owner with a nice 10 unit building in St Paul. His mortgage was on a 5 year balloon and was approaching it’s term so he figured it was time to get with the banker to renew the loan for another 5 years. He figured this process would be fairly easy,  after all, [...]

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