McCallum’s Musings on the Market – 1/14/2026

McCallum’s Musings on the Market!

• Optimism for 2026? Increased purchase & sale activity and the Wall of Debt maturities may spark a dynamic year for commercial real estate.
• Treasury Indexes may get relief with government bond specific for housing. 
• While the Fed is easing, it won’t solve fundamental issues with current DSCR tests and higher cap rates. NOI continues to be impacted by ever-increasing operating costs & CAPEX.
• US Debt is skyrocketing at its fastest pace in the history of our country; expect further currency debasement.

McCallum’s Music Pick: Ripple by The Grateful Dead

Case Study

• Pine Grove, CA
• Purchase financing requirement
• 23-unit multi-family property on 5.39 acres
• 6.3% fixed interest rate for initial 5 years
• 70% LTV financing

John McCallum, Borrower’s Advocate, completed this purchase financing request for a first-time commercial buyer seeking to purchase a property in a tertiary market. The property featured strong tenancy to help solidify the historical cashflow necessary to meet the lender’s maximum loan to value position at 70%. Known for representing owners and investors in obtaining the best financing solutions, John sourced the ten-year loan term and provided the owners an opportunity to grow their real estate portfolio.

Featured Article

DEMAND FOR RETAIL SPACE SURGES IN RECENT MONTHS: Fewer move-outs and steady backfill leasing activity support strong demand for store space. Retail real estate demand surprised to the upside in the final quarter of 2025, as retailers absorbed more than 12 million square feet of space.