Does anyone know anything about the commercial loan sale secondary market? Who are the major players? Who are the primary buyers? Also, what about pooled residential mortgage sales? Is there a market for this right now in the performing space? What is the future outlook?
Thanks.
| +48 | Anyone else being pushed to underwrite more aggressively (Multifamily)? | 14 | 3d |
| +30 | Uncertain of what To Do Next | 5 | 18h |
| +28 | Capital Restricted Developer | 2 | 1d |
| +28 | What should we be buying? | 21 | 8h |
| +27 | Basis play / value-add office in high-growth markets - value trap or generational buy? | 10 | 2d |
| +22 | Warning: J. Shaw Recruiters | 5 | 1d |
| +18 | Due Diligence - ALTA Survey | 3 | 1d |
| +17 | Laughable Job Posting | 3 | 7h |
| +15 | Seeking Advice: How Do You Get Value from ULI Membership? | 2 | 4d |
| +11 | PGIM Real Estate Equity vs. Private Credit | 3 | 4d |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
I used to work for a company that bought pools of loans before the economy came back to this degree.
I'll tell you this: there are MANY players. The big sellers are whichever banks are holding the most underperforming loans that quarter.
One way to see who's selling what is to register for DebtX. They broker quite a few loan portfolio sales. In order to see due dili materials you have to go through a pretty onerous process, but to get the email blasts you can sign up pretty quickly. I've never transacted through them, but have heard good things.
There are a bunch of smaller ones that might be worth checking out as well - loanmls.com is one that comes to mind. The FDIC themselves also run some sales - but again, not for your typical small shop investor.
When you say there are many players, do you mean buyers or sellers?
Is DebtX a trading platform for all loan sale brokers or is it just for DebtX listings?
It sounds like there is mainly a market for non-performing notes right now. What about performing notes?
If I've got a $60MM pool of performing residential notes that I'm trying to sell, where would I have access to quality buyers outside of my current database?
Thanks.
I'm by no means an expert on portfolio-level trading, but I do know that DebtX is a sort of agent between loan portfolio sellers (large and small) and loan portfolio buyers (also large and small). I've been subscribed to their email blasts with what's trading, and it varies pretty widely by size, property type, performing/non-performing, etc.
I recommend you peruse their website and look at some of their current listings to see how similar they are to what you have.
Also check out Mission Capital. They're basically loan sale advisors - not sure what their commission is (or DebtX's, for that matter), but they're good at what they do.
The loan business to me is much more about the buying and selling of the paper than earning interest (as a lender).
After doing quite a bit of research, it seems as if there are only a handful of players in this loan sale brokerage space. DebtX and Mission Capital seem to be the only two major players in this arena along with some smaller groups. Is there just not that much product trading hands or are there a lot of barriers to entry for newcomers?
Thanks again.
Deleniti reprehenderit qui asperiores voluptate delectus. Voluptatem error voluptates cum sed qui rerum corporis. Ut veritatis tenetur sed.
Tempora voluptas soluta illo quia. Qui aut voluptatibus ab aspernatur.
Voluptatem et nostrum rerum. Quibusdam provident et accusamus nemo facilis. Fugiat numquam quis sint provident sit corporis sunt.
Officia impedit alias non est. Ad beatae debitis id est totam sed earum. Quae exercitationem est accusamus. Sunt laborum rerum ut occaecati natus hic rerum. Reiciendis omnis quas enim aut. Nemo dolor rerum fugit libero.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Aliquid eius et libero consequuntur. Enim aut illo voluptatem possimus rerum qui voluptates et. Autem culpa assumenda ea numquam. Quo quia sit excepturi consectetur dolor.
Quibusdam dolorem nobis beatae totam consequatur molestiae vel. Eveniet tenetur accusantium et autem ut ea non. At mollitia sapiente et. Ut asperiores ad est et aliquid debitis.
Corrupti earum iste minima tempore facere. Aut eos hic est at quo necessitatibus. Aut accusantium dolore commodi amet.
Accusantium quaerat possimus quis dolore occaecati rem. Ex cumque molestias sit facilis hic quo et. Sequi blanditiis et vero voluptas repellendus sed. Delectus odio rerum aperiam ducimus sit aut.