Since the onset of the new year, I’m beginning to see interest rates trend downward. And this is obviously good news for borrowers who need non-bank financing.

With such a shortage of cash over the last two years, it seemed that there were just too many good deals chasing a limited supply of cash.  Since the start of 2010, it now seems that there is more liquidity in the market.

Many private lenders are beginning to match the lower interest rates being offered by private investors or individuals lending out their IRA money.  Some of the programs that are currently being offered in the Western United States include:

• California Residential & Commercial Purchases, Refinances and Cash Out Refinances
  • 8.5 to 9.95% APR
  • Hard money 2^nd mortgages starting at 10% APR

• Utah Residential and Commercial Purchases, Refinances, and Cash Out Refinances
  • 10 to 11.99% APR

• Nevada Residential & Commercial Purchases, Refinances and Cash Out Refinances
  • 11.99 to 12.5% APR

• Arizona Residential & Commercial Purchases, Refinances and Cash Out Refinances
  • 11.99 to 12.5% APR

• Idaho Residential & Commercial Purchases, Refinances and Cash Out Refinances
  • 11.99% APR

These are just some examples. Last year at this same time, interest rates were typically starting at 12 percent and ranged between 12 to 14 percent.  Like you, I’m hoping rates will continue to trend downward for the remainder of 2010!

Any comments on this topic?

Posted by Corey Curwick on May 12, 2010