In 2021, there was an abundance of opportunities that people took advantage of in the form of investment properties. Lenders were also able to lower their rates across the industry, so brokers and borrowers decided last year was the right time to get in on the action. However, the start of 2022 gave some people reason for pause as the federal government sanctioned an interest rate hike that affected the industry.
Ramzy believes people should still be optimistic about their opportunities saying, “the rise in rates comes as no surprise to anyone as it’s been well-publicized and forecasted for some time now. Historically speaking, rates are still very reasonable from an investor’s perspective.”
Working with lenders such as RCN Capital offers brokers and borrowers alike a wide range of loan products. This diversity allows for people to pivot off previous investment strategies that are no longer their best option and switch to another.
Speaking of versatility, RCN Capital offers two options for our multifamily loan programs as well. There is a purchase and rehab loan for multifamily properties that is an 18-month term that covers rehab costs and allows investors to upgrade the property’s value before refinancing into a loan with a longer term. However, if the property is in rent-ready condition and the investor wants to see cash flow right away, RCN Capital offers an appealing long-term multifamily loan option too.
This is where the multifamily loan programs can come into play and why investors should be paying attention to this part of the industry. The ability to scale your wealth and experience as an investor is what the multifamily space is all about. With an interest rate increase on everyone’s mind, that rate can be offset by a significant increase in cash flow. The multifamily space is ripe with opportunities to scale your business.