Freddie Mac Apartment Loans
Freddie Mac Small Balance Program
The Small Balance Program is for the acquisition or refinance of small balance loans providing liquidity, stability, and certainty of execution to the affordable rental housing market nationwide. Key Benefits of the Freddie Mac Small Balance Program are as follows. Financing of small balance loans using hybrid ARM or fixed-rate mortgage products, offering partial-term and full-term interest-only, A Streamlined processes during pricing, underwriting, closing and funding as well as Competitive pricing and Streamlined loan documentsProperty types eligible are as follows:Conventional multifamily housing with five residential units or more, including conventional housing with tax abatements and S...
What is a Freddie Mac Apartment Loan?
Freddie Mac Apartment Loans The Federal Home Loan Mortgage Corporation (“Freddie Mac” or FHLMC) has multifamily mortgage products available for conventional (“market-rate”) properties, seniors housing, student housing, cooperative and targeted affordable housing. Through it’s various programs, Freddie Mac offers mortgages to experienced multifamily investors that focus on low- to median-income tenants. Like CMBS and Fannie Mae loans, these mortgages are pooled, securitized, and sold to investors. Freddie Mac loans are priced based on the corresponding treasury and a spread, which takes into account the loan amount, term, LTV, and property location. Pricing consideration...
Freddie Mac Apartment Loan Application Process
A Federal Home Loan Mortgage Corporation (“Freddie Mac” or FHLMC) mortgage is a non-recourse loan product for multifamily properties with 5+ units. These loans can be fixed, floating, or a hybrid of both, with interest-only periods available. It is for various multifamily property types, including conventional apartments, affordable housing (tax-exempt and taxable), seniors housing, student housing, cooperative housing, and manufactured housing. Freddie Mac loans are only available for experienced multifamily investor/managers. The Freddie Mac due diligence and closing process is very similar to the Fannie Mae and CMBS processes since all three have loans that are poo...
