Source Realty Capital Originates Over $100 Million of Real Estate Loans in 2022
Source Realty Capital, a New York-based real estate lender and commercial loan broker, originated over $100 million of real estate investor loans in 2022.
“Despite the headwinds from higher rates in the second half of the year, 2022 was another record year of loan originations for us.”— John Femenia
LONG ISLAND, NEW YORK, UNITED STATES, December 19, 2022/ EINPresswire.com / -- Source Realty Capital, a New York-based private real estate lender and commercial loan broker, closed out a record year in 2022, originating over $100 million in private money real estate loans. Through its large network of real estate investors, loan brokers and realtors, Source Realty Capital originates short-term real estate bridge loans for experienced real estate professionals looking purchase and renovate investment properties. Source Realty Capital also provides real estate investors with long-term financing options, also known as DSCR loans, which are primarily used to finance stabilized rental properties.
In 2022, Source Realty Capital originated just over $100 million in total principal amount of real estate investors loans. The total number of loans originated was 119, consisting of 93 short-term bridge loans and 26 long-term rental loans. The average loan amount was $840,336, with the largest loan being $7.6M, and with the smallest loan amount of just under $100,000. For bridge loans, the average loan to purchase price was just over 80%, with an average loan to after-repaired value of 71%. The average bridge loan rate was 9.4%. For long-term DSCR loans, the average loan to value was 72%, with an average rate of 7.2%.
“Despite the headwinds from higher rates in the second half of the year, 2022 was another record year of loan originations for us” commented John Femenia, founder and principal of Source Realty Capital. “Our continued year-over-year growth in loan originations is a testament to our ability to close loans even in a raising rate environment.”
“Looking ahead, we anticipate the broader real estate market to be challenging in 2023. However, our borrowers are learning to live with higher rates, and we expect our origination volume to remain strong in the months ahead” further commented John Femenia. “Additionally, while we expect a slight pullback in home values in 2023, we believe higher rates will create near-term opportunities for real estate investors that were unable to capitalize on deals during the post-pandemic housing craze.”
ABOUT SOURCE REALTY CAPITAL
Source Realty Capital was founded by John Femenia in 2019 to provide capital to experienced real estate investors that were unable to access bank financing. Source Realty Capital finances both short-term bridge loans, used primarily by house flippers, as well as long-term rental loans for stabilized investment properties. By focusing exclusively on 1-4 family and small balance multi-family properties, Source Realty Capital has been able to carve out a niche for itself and effectively deliver capital to experience real estate investors. Source Realty Capital has originated over $250 million of private money real estate loans.
Source Realty Capital’s founder, John Femenia, has over 15 years of finance experience. Prior to forming Source Realty Capital, John was focused on raising capital for the shipping and maritime industries, where he raised over $2 billion of equity and debt capital. At Source Realty Capital, John is focused on using his finance experience to give real estate investors access to the capital they need to close deals. John has an undergraduate degree in engineering from the United States Merchant Marine Academy, and MBA in finance Columbia Business School.
Source Realty Capital
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