Pros see longevity for residential transition loans

Real estate professionals attending a recent Morningstar | DBRS panel discussion were optimistic about the new production prospects for residential transition loans (RTL), with about 60% saying they expected positive long-term growth, and around 32% expecting flat production from the sector.

The financing environment is also positive, they said. Forty-four percent of industry professionals in attendance said they expect rates on the seven- and 10-year Treasurys to dip over the next 12 months, while about one quarter said they expected rates to stay flat.

Attendees shared their outlooks during live polling at the panel discussion event covering the home equity investment and residential transition loan (RTL) industries Wednesday afternoon.

The industry’s biggest opportunities involve the…