ReadyCap Commercial and Federal Home Loan Mortgage Corp (OTCBB:FMCC) have announced that the former has grabbed a loan from Freddie Mac under its small balance loan initiative. As per the reports, the $1.12 million worth loan has been taken for a multifamily property, which is located in Dallas, Texas. The Thursday’s closing price of the leading mortgage provider was $2.55, unchanged from Wednesday’s closing price.
The property against which ReadyCap has take loan is situated in the eastern part of the city amidst of many other newly constructed buildings. The owner of the property has been working on its renovation of a selected number of units for quite some time. Out of the total loan disbursed, 80% will be cash-out to the owner, which will enable him to continue the renovation procedure. As per the reports, the loan was sourced through Steve Sieling, who is based in Dallas and works with Azur Commercial Capital, LLC.
Even though, Azur Commercial Capital has entered into mortgage business lately, but its principals have been working in CRE loan field for the last 20 years. Reports claim that Sieling opted for ReadyCap over several other players due to two major reasons i.e. their fast processing of loan transactions and second to none underwriting skills.
The senior management of Freddie Mac is delighted to see the popularity that small loan initiative is getting in the market. John Cannon, SVP, Freddie Mac, claims that it’s good to see such transactions happening so fast. It shows how swiftly the small loan initiative of Freddie Mac’s getting popularity across the country.
Cannon says that it’s good to come across a company like ReadyCap, which puts a lot of efforts in the field to close the deal. The company will look forward to continuing its association with ReadyCap for disbursement of small and large loans.