August 2025 Interest Rate Ranges: Quoted Past 60 Days

by Cody Charfauros, Principal and Managing Director

The last 60 days have seen a softening in spreads and all-in rates across the board, from life companies remaining highly active and eager to do end-of-year business to CMBS, bank and credit union lenders competing for business on spread, leverage, interest-only periods and flexible prepayment terms.

Ahead of the September FOMC meeting and in light of the latest jobs revision and Core PCE print, we believe the market has built-in a 25bps cut and that such a cut is already reflected in the slight softening in short-term U.S. Treasuries. Should additional indicators arise that make a 50bps cut in September or soon thereafter, additional softening in short-duration Treasuries is to be expected.

As we get closer to the end of the year, some lenders will meet their allocations and there may be less competition over spreads until the reset of allocations in Q1 of 2026.