2014 SBA Secondary Market Outlook

Thanks for your interest in the 2014 SBA Secondary Market Outlook, which measured the outlook for secondary market participation and success. For many lenders, loan sales drive the supply line for delivering small business capital. Please review the results below.

Charles H. Green

Bob Coleman

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1. Does your company sell the guaranteed-portion of its SBA 7(a) loans?

• Always
  48%
• Sometimes
  32%
• Never
  20%

2. If so, what percentage of its SBA 7(a) loans do you estimate your company sold into the secondary market?

• 72%

3. What was the average premium paid for these loans in FY 2013?

• [Technical Glitch w/Data]

4. What percentage of its SBA loans do you estimate your company will sell into the secondary market in 2014?

• 75%

5. What is the expectation of sale premiums to be offered for these loans in 2014?

• Higher
  16%
• Lower
  27%
• Same
  57%

6. What is the expectation of the loan servicing fees to be offered for these loans in 2014?

• Higher
  14%
• Lower
  7%
• Same
  80%

7. Do you expect the Prime Rate to increase in 2014?

• Yes
  23%
• No
  61%
• Don’t Know
  16%

8. Has your company ever sold “loan servicing income strips” during process of selling SBA guaranteed loans?

• Yes
  2%
• No
  82%
• Don’t Know
  16%

9. Has your company ever sold the unguaranteed portion of its SBA loans?

• Yes
  7%
• No
  86%
• Don’t Know
  7%

10. What’s the most important reason your company sells SBA loans in the secondary market?

• Premium Income
  45%
• Balance Sheet Liq.
  5%
• Both
  34%
• Neither
  16%

Download PDF Results