Michael B. Tannenbaum’s Post

Exciting news for banks on the horizon with the planned mortgage concessions by federal regulators 📈. Here are my thoughts on what this could mean for the industry: - A positive move for banks as they stand to benefit from these concessions, potentially boosting their bottom line 💰. - Could lead to increased lending activity, stimulating the economy and driving growth in the housing market 🏠. Let's keep an eye on how this plays out and the ripple effects it might have!

With the Fed's interest rate cutting cycle underway and the Mortgage Bankers Association forecasting that commercial and #multifamily mortgage borrowing and lending will increase 26% for CY2024 and another 23% in 2025, the re-emergence of bank #CRE lending is top-of-mind. ☝️ Thanks to Managing Director, Capital Markets, Bryan Doyle of CBRE for being a LightBox CRE Market Advisory Council member and sharing your insights on #CRE lending at this critical time in the market. Read more ➡ https://lnkd.in/dnvMNmNs #CapitalMarkets #MarketInsights #Lenders #CommercialRealEstate #CBRE

CRE lending growth predictions slightly down but still strong. The Mortgage Bankers Association's latest revision indicates that lending growth for 2024 and 2025 will be slower than previously anticipated, now expecting a 26% rise this year, as opposed to the original estimate of 34%, and a 23% increase in 2025, just slightly below the initial forecast of 24%. Despite this, factors like moderating interest rates and a substantial number of loans maturing suggest that the market remains on solid ground, also implying that borrowers are remaining cautious as they await more reassuring data and conditions. And while they are not wrong, this also presents different opportunities for investors and developers ready to act. In short, those who take action now, while others remain hesitant, may seize opportunities that others miss out on, benefiting from potentially less competition for financing and acquisitions, securing better deals, and positioning themselves ahead of the curve as the market begins to recover. The key is in: - Securing flexible financing options - Maintaining liquidity to adapt to changing conditions What’s your take on this? 🤔 #CREInvestor #CREDeveloper #CRE #CREInvestment #CREMarket #CREInsights #CommercialRealEstate #CREFinancing #InterestRates #CRELending

Really interesting graph outlining how much variable rate discounts have dropped. As margin pressures started to bite, the banks begun withdrawing from the mortgage wars we witnessed in late 2022 and early 2023 by steadily reducing the discounts they were willing to offer clients to win over their business. At Key Change Finance we are still seeing opportunities to assist clients save a considerable amount of money on their loans via engaging their existing Bank or moving lenders. #Rates #Finance #Savings

Want to know the specifics of the new LVR and DTI changes? 🙌 It's updates galore in the lending space at the moment, with the Reserve Bank announcing the expected DTI regulations will come into force from 1 July, and making adjustments to the LVR rules 👌 So what's the big update and the TLDR here? 🤔 ✅ Banks are adding some different tools to the assessment of lending with debt to income ratios ✅ These were anticipated and we don't expect a lot of change to lending as most banks already have servicing calculations that are stricter than these would dictate ✅ It will become more important as rates drop, and test interest rates are lower ✅ They are also loosening the Loan to Value ratio rules slightly, which will increase lending for first home buyers with less deposit - yay! 👏👏👏 ✅ It will also allow investors to buy property with a 30% deposit instead of 35% - so if you're keen to get into property investment this will affect you More info on our latest blog on the My Mortgage website, and as always reach out to us if you have  any questions about what this means for your situation 🤙 👉 https://lnkd.in/e_Viju7v #mortgage #DTI #LVR #mortgagelending #propertyinvestors #firsthomebuyer #smashedavo

Both and personal and business application… The Fed cutting short term interest rates may not help reduce longer term interest rates given long term rates are tethered to economic optimism. Long term rates are up significantly post election putting strain on debt laden companies, particularly those with floating rate debt or those with near term refinancing needs. May cause companies and individuals to look at different ways to cut costs, like payroll, G&A costs… #interestrates #economy #debt #mortgage

The historically low mortgage rates from 2008 to 2021 were driven by two key post-crisis strategies: Lowering the Fed funds rate and Quantitative Easing. During the 2008 Great Financial Crisis, the Fed bought bonds to stabilize yields as part of its effort to keep borrowing costs manageable. By creating competition in the bond market and stabilizing yields, these moves shaped the lending environment for over a decade. Today, we still see the impact of these policies on mortgage rates and lending practices. #QuantitativeEasing #BondMarket #MortgageLending #2008Crisis #MonetaryPolicy #RealEstateFinance

The Commerce Commissions came out with its report on banking competition. Overall I think they managed to address some very good points. Technology can be the answer to providing more value to stake holders quicker. Those that do not invest will be left behind. A couple of things were a bit left field like requiring mortgage advisers to point out a better rate they could not offer. A better rate sometimes misses the point - cash backs for example or simply product flexibility. https://lnkd.in/gGPNMYT6

What do the Fed rate cuts mean for investors like you and me? 📉 Lower interest rates make it easier to secure financing 💰 Lenders are typically willing to offer more attractive terms 📉 Lower fixed-rate debt = greater cash flow due to lower mortgage payments 💵 Greater cash flow = more money in your pocket! The downside? ⚠️ Cheaper borrowing costs can attract more buyers to the market, which can push prices up 📈 Be diligent in your analysis, sharpen your pencil, and stay firm in your criteria. There are great deals in every market cycle. DM me for tips on what to look for and how to analyze properties. 📩 #FedRateCuts #RealEstateInvesting #CashFlow #InvestmentStrategy #SmartInvesting #InterestRates #RealEstateTips #PropertyInvestment #MarketTrends #WealthBuilding

What do the Fed rate cuts mean for investors like you and me? 📉 Lower interest rates make it easier to secure financing 💰 Lenders are typically willing to offer more attractive terms 📉 Lower fixed-rate debt = greater cash flow due to lower mortgage payments 💵 Greater cash flow = more money in your pocket! The downside? ⚠️ Cheaper borrowing costs can attract more buyers to the market, which can push prices up 📈 Be diligent in your analysis, sharpen your pencil, and stay firm in your criteria. There are great deals in every market cycle. DM me for tips on what to look for and how to analyze properties. 📩 #FedRateCuts #RealEstateInvesting #CashFlow #InvestmentStrategy #SmartInvesting #InterestRates #RealEstateTips #PropertyInvestment #MarketTrends #WealthBuilding