Increasing Rates!

We all are seeing rates go up and up. As history tells, rates will not keep going up but eventually go down. If we all look back to 2006 – 2008, the rate went from 9.0% to 3.25%.

Based on our current economic conditions, rates dropping down back to 3.25% may not likely happen but eventually we should see it slowly come back down. Locking in these high fixed rates may not be as attractive as you think as variable rates will change when the rate changes.

SBA loans are not allowed to have floor rates so they have huge advantages over non-SBA loans where lenders may place a floor rate. There are many other benefits of having SBA loans that you may not be aware.

Our team has been through all these ups and downs both on the lending and brokerage side. The benefit we have that many others do not is that we understand how lenders view loans in these situations where rates are high and how to help structure deals to make them doable for lenders.

Team BWCA is always here to help with any consulting needs. Reach out to any of our team members or visit our website for more information.