Jonathan Kieswetter, president of Grace Capital Group, a real estate mortgage broker based in
The borrower can make up the loss in less than 12 months, so it will have increased cash flow," says Kieswetter
Grace Capital's Kieswetter says
borrowers, in particular, prefer the flexibility of floating-rate mortgages over their fixed-rate counterpart.
observed a definite increase in floating-rate loans there this year.
is more creative, more demanding when it comes to loans," Kieswetter
"The adjustable rate appeals to borrowers who want the flexibility in and out of the loans fast."
Other ways borrowers look for quick exits include taking on a 15-year loan fixed for three, five, seven or 10 years that then converts to variable rate for the remainder of the term.
says adjustable Fannie Mae multifamily loans are gaining in interest as well.
"Our clients are getting a keen interest in these (ceilings), somewhere in the 8% to 9% range," says Grace Capital's Kieswetter.