Non Recourse Multifamily Loans

Fannie Mae Multifamily Loans :: $1 million to $6 million

Fannie Mae Multifamily Small Loan Program

Longer term fixed-rate terms, lower cost of execution and a delegated model that allows for a faster execution.

The delegated model allows licensed lenders the ability to move clients through the loan process expeditiously, responding quickly with credit decisions, critical updates and any Fannie Mae guideline changes.


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Loan Amount: Up to $6 million nationwide

Fixed-Rate Terms: Choose from a 5, 7, 10, 12, 15 or 30-year fixed rate

Amortization: 30-years

Maximum LTV: 80%

Minimum DSCR: 1.25x

Eligible Properties: Conventional properties; Multifamily Affordable Housing Properties; Cooperative Properties (market rate); and Manufactured Housing Communities

Subordinate Financing: Supplemental mortgages are available after the first 12 months of the loan term or loan assumption

Prepayment: Flexible prepayment options available, including yield maintenance and declining prepayment premium

Recourse: Non-recourse execution is available with standard carve-outs for “bad acts” such as fraud and bankruptcy.

Occupancy: Properties must demonstrate a minimum occupancy of 90%  for the 90-day period prior to commitment

Escrows:  Lenders are delegated the authority to waive the Replacement Reserve for certain transactions. Replacement Reserve, tax,and insurance escrows are typically required for higher leverage transactions.

Assumability: Non-recourse loans are typically assumable, subject to review and approval of the new borrower’s financial capacity and experience