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SBA 504 Loan Interest Rate Report: October 2017

2017年10月

The bonds that funded October's 20-year Small Business Administration (SBA) 504 loans saw a 26 basis point increase over last month, which was the lowest of the year. 尽管涨价了, the resulting effective interest rate (the all-in cost to a borrower) still remains under 5% to the benefit of small business borrowers. Additionally, new lower program fees for 504 loans approved in FY 2018 kicked in.

504 loans are funded by the sale of bonds (aka debentures) which are pooled and sold on Wall Street each month. 看到 Understanding the 504 Loan Interest Rate

The bonds that funded this month's 20年期504十大正规赌平台平台 以2美元的价格出售给投资者.85%, resulting in a final effective interest rate of 4.56% for October for standard 504 loans (与4相比).9月37%.8月53%，4月53%.7月76%). The 20-year effective interest rate for debt refinance loans is 4.十月份61%.

The effective interest rate for 10年期标准504十大正规赌平台平台s (which is set bimonthly) is 4.9 / 10月为06%. The 10-year effective interest rate for debt refinance loans is 4.9 / 10月12%.

For FY 2018, program fees paid on Small Business Administration (SBA) 504 loans have decreased. The changes are applicable only for loans 10月10日或之后批准. 1, 2017，至九月. 30, 2018 (not those that are funded after Oct. 1). 看到 Official Monthly 504 利率

The Upfront SBA Guarantee Fee will continue to be zero for both standard and refinance 504 loans. (Note: this is not the bank fee, which is paid on the first mortgage amount.)

The Ongoing SBA Borrower Fee for 504 standard loans (paid annually) has been reduced from 0.697% (69.7个基点)到0.642% (64.2 basis points) of the outstanding balance of the loan.

The Ongoing SBA Borrower Fee for 504 refinance loans (paid annually) has been reduced from 0.731% (73.1个基点)到0.682% (68.2 basis points) of the outstanding balance of the loan.

The SBA's 2016 fiscal year runs from Oct. 2017年1月1日至9月11日. 30, 2018.

弗兰克·基恩, fiscal and selling agent for 504 funding securities, commented following the October bond sale:

“The Week in Review - other than the jobs report (the U.S. 了33,9月份新增就业岗位10000个, the first negative report in seven years), the item of most interest was SBAP 2017-20J being priced at 2.85%, just 3 bps higher than the December 2015 debenture sale that preceded four rate hikes by the Fed. We've seen the cost of funds increase by 100 bps, 但全球经济增长温和, low inflation and global $ seeking high quality assets have held rates in check.

“That is poised to change with the Fed committed to its dot-plan for more rate increases (the market sets a 92% probability of a December rate hike) and the normalization of its Balance Sheet, but if Chairwoman Yellen is correct, the change should be gradual,基恩说。.

There was confirmation at September's FOMC meeting that the Fed would reduce its monthly Balance Sheet reinvestments by $10 billion starting in October. The monthly caps will increase on a quarterly basis, scheduled to reach $50 billion in October 2018, 他说.

The SBA 504十大正规赌平台平台计划 provides up to 90% financing at below-market, fixed interest rates and long amortization terms for the purchase of major fixed assets, such as owner-occupied commercial real estate and/or heavy duty machinery and 设备.

504 loans are paired with private-sector commercial loans and provide up to $500万年 for standard and public policy projects (aggregate limit) and up to $5.500万年 每 green initiative and small manufacturer projects. These are SBA 2nd mortgage loan portions only; there is 没有限制 on overall project dollar size.

For more information about SBA 504 loans in 佛罗里达, South Alabama or South Georgia,contact a佛罗里达 First Capital Loan Officer或发邮件至info@ly-brand.com. 电话:850.681.3601或免费电话888.320.5504.