Freddie Mac   (FHLMC)

FREDDIE MAC OVERVIEW

The Federal Home Loan Mortgage Corporation is more commonly known as Freddie Mac. There are 24 Freddie Mac Program Plus lenders each which are approved for a particular market. This network is a highly selective group of experienced multifamily lenders with over 150 branches across the nation. As opposed to Fannie Mae DUS lenders, all Freddie Mac Program Plus lenders will provide the same quote to a borrower. There are also 12 Freddie Mac Targeted Affordable Housing Seller/Servicers that can lend nationwide. These loans are only for properties subject to low-income housing tax credits.

FHLMC LOAN OPTIONS

Fixed-Rate:

Mortgages allow a flexible financing plan for the acquisition or refinance of multifamily properties while maintaining a fixed interest rate.

Adjustable-Rate:

Mortgages are Freddie Mac’s lowest priced (interest rate) loan product. However, the interest-rate has the ability fluctuate throughout the loan term.

Supplemental Mortgage(s):

With Freddie Mac offers additional fixed- or adjustable-rate financing without a prepayment premium.

GENERAL LOAN TERMS

Occupancy:

Must be 90% occupied for the three months (90 days) prior to loan commitment (aka 90 for 90).

Loan Amount:

$3.5 to $100 million.

Loan Term:

5 to 30-years.

Amortization:

Maximum of 30 years.

Loan to Value:

Maximum of 90%.

Reserves:

Required for tax, insurance, & replacement reserves.