U.S. - Out-betting the Bond Market? - 2012

In a recent Penton Media Research/Jones Lang LaSalle survey, 57 percent of borrowers predicted an uptick in interest rates in 2012, while 78 percent of respondents predicted interest rates would rise in 2011. Jones Lang LaSalle's Mike Melody also expects rates to remain low during 2012 with generally favorable commercial loan pricing. He describes how the market is at an absolute 25-year low for fixed rate loans on the best, low leveraged, quality assets. Borrowers with core, well-located properties will have a lot of competition and bidding wars from lenders willing to be aggressive on their pricing even though absolute rates are low given the spreads to those benchmark interest rates are still extremely attractive. Learn more at http://www.us.joneslanglasalle.com/REIB

Category:

News & Politics

Tags:

• Interest rates
• Long-term mortgage rates
• absolute rates
• Commercial lending
• MBA
• CMBS
• life companies
• allocations
• commercial real estate lending
• Mike Melody
• Paige Steers