Investing is about leverage. Leverage is about stability. If the rate on the loan adjusts annually, you can be pretty sure the rate will adjust up. Take a look at how just two percentage points can change your payment...

When underwriting multifamily deals, I frequently hear people say "cap rate is xx when adjusted for property tax". Can someone expand on how this works and why it should be adjusted this way? In projections, we usuall...

Below is a chart of the interest rate on the 10 year going back to 1880.  As we all know the 10 year is a reasonable benchmark for mortgage rates.  In other words, or what matters to investors, the 10 year determines ...

Hi there BP...I did a search on this topic but could not find any past posts on this.  Has anyone called up their lender/bank and asked for an interest rate adjustment on a conventional residential loan (agency debt)?...

Good morning,Our first 6 months of our studio (househack) being available on AirBnB & VRBO was very successful for us.  During that time, the minimum rate we charged was $50/night; $20 cleaning fee for short term ...

I see rates on the internet for primary homes 30 year fixed rates.  Is there a typically formula for how much that rate should increase if the property is an investment property instead of an owner occupied property? ...

Dear bp family,

I want to know how you all feel about ARMs on cash-flowing rental properties. Im looking to possibly do an investment loan on a four family or duplex. The credit union and bank lenders (milwaukee,wi) ...

I have a HELOC with an adjustable rate, which the terms clearly state is pegged to the prime rate plus 1.99%.  I noticed they were quick to increase the rate when the prime rate was going up, but they have not reduced...

Hi,On a 8-plex we are offering on, the seller utilized a 5% cap rate with existing NOI(30k) to arrive at 600k purchase price. If the average cap rate in the area is between 7-8% on similar properties, adjusting this c...

Hello.I'm working with a bank for a commercial loan and they are offering what I think is a variable rate every 36 months: Rate: WSJ Prime rate plus 0.5% (Currently 3.25 + 0.5 = 3.75%)
Rate to adjust every 36 mon...