Asset Based Lending 2022 Review
2022 was a turbulent year for real estate investors. With the Fed consistently raising interest rates and housing markets fluctuating across the country, investor strategies were shaken and financing options began to tighten. Asset Based Lending has remained reliable and stable throughout some of the most uncertain real estate markets of the last few decades. At this point, we feel like experts in our ability to pivot in order to match the market and keep our borrowers funded, no matter what happens. Here’s a few of the changes we made in 2022 to help better serve our borrowers and remain a reliable lender during market volatility:
Balance sheet lender
ABL returned to being a balance sheet lender, holding most of our loans on our books rather than selling them to a note buyer. This allowed us to increase leverage, offer more flexibility with our programs, and continue servicing our loans without interruption.
Introduced new programs
Changing times require changing programs, and ABL is always on the forefront of evolving our hard money lending programs to match the market. We brought back our 90% financing option, introduced a 2-year bridge loan for stabilized property, grew our multifamily lending to include 5+ properties, and updated our mixed-use lending to include properties with up to 49% commercial space.
Improved current programs
After introducing rental loans in 2021, we continued supporting our 30-year DSCR program to help borrowers take advantage of rising rents across the country, whether its a single rental property or an entire portfolio. We remain one of the only hard money lenders in the country that works with first time real estate investors, partnering on sensible deals to help new investors begin their fix and flip journey. As always, ABL continued offering the industry’s only true zero-point loan, allowing our borrowers to save thousands of dollars by exiting deals quickly with no pre-payment penalties.
Dedicated points of contact
Our processors and construction managers are the best in the business, as shown by the constant shout-outs from our borrowers’ 5-star reviews. We now assign you a dedicated team to handle your loan from start to finish, so you’re working with the same small team who understands your loan and what steps are needed to get you closed & funded ASAP.
Geographic expansion
ABL increased our lending reach to more than half the country, offering our hard money loans in 28 states and Washington DC. Thanks to our borrowers’ support, our team can help even more real estate investors scale their business with fast and reliable financing in states like Georgia, Texas, North Carolina & South Carolina, and more. We’re not done growing, so keep an eye on where we’ll expand next!
Increased staffing
Our team grew by 36 members across several borrower-focused departments, so that we can continue servicing your loans with the speed and reliability that you’ve come to expect from us. We’re always scouting top talent across the loan financing and servicing industry, so you’ll continue to work with the best in the business when you work with ABL!
What did these changes mean for ABL borrowers?
During 2022, ABL delivered the following:
- 987 projects funded across fix and flips, new construction, BRRRR loans, commercial multifamily, and bridge loans for stabilized property
- 2,356 draws funded
- $122,000,000 construction funds disbursed
- $475,000,000 in total loan volume
There’s a lot of good news for real estate investors going into 2023. The Fed insists that interest rates are close to their peak, lumber prices and other housing material costs are dropping, and the ongoing shortage of housing inventory across the country still has property values and monthly rents at near-historic highs. With an investor-friendly year on the horizon, now is the time to plan your investment strategy and source your hard money financing.
Asset Based Lending promises to remain your reliable lending partner throughout this year and every year, continuing to adjust our programs to ensure our borrowers receive the best possible financing across a variety of real estate investments. If you’re ready to experience the ABL Difference and work with the premier hard money lender, then give us a call at 201-942-9090 or fill out our pre-qualification form to be approved in 24 hours.