Where are the top markets for short-term investments?

[Ethan Gidcumb]

Investors, interest rates for short-term loans are on the move! Here's a quick look at the recent trends across different markets:

Orange, CA: Down by 1.43%

Pinellas (Tampa), FL: Down by 0.78%

Dallas, TX: Down by 0.32%

Los Angeles, CA: Down by 0.23%

What's driving this?

A study by Geraci LLP, analyzing data from 125 lending companies, shows that the private lending industry performed significantly better in the first four months of 2024 compared to the same period in 2023.

When it comes to short-term loans—like fix-and-flip, construction, and bridge loans—there was a notable increase in production from 2023 to 2024. February alone saw a 46% jump, while April followed with a 38% increase in loan volume.

Current Interest Rates

On average, interest rates nationwide hovered between 11% and 11.5% from February to April 2024, with an average loan amount of $460,000. The good news? Rates seem to be steadily declining.

Top Markets

California, Florida, and Texas are leading the pack as the hottest markets for short-term loans.