Multifamily Property

Apartment properties come in all shapes and sizes, ranging from dense, high-rise, urban apartment buildings to sprawling, resort-style complexes in the suburbs complete with swimming pools, fitness centers and outdoor patios.

Bank And Credit Union For Investment Commercial Real Estate

Banks and credit unions generally provide some of the lowest rates available in the market, making them attractive sources of debt for many businesses. These lenders will finance a broad range of property types and are usually flexible with uses of funds. Financing may be used to acquire, develop, construct, or rehab commercial property, as well as to refinance existing debt, or consolidate multiple loans. These lenders provide an assortment of products including fixed and variable rate structures.

Loan Amount Min. Rate Term Length Closing Time Max LTV Amort.
$500K + 4%'s Up to 10 yrs 4 - 6 weeks 75% Up to 25 yrs

CMBS

CMBS loans are institutional grade commercial mortgage loans that are pooled with other CMBS loans and then securitized into a bond. Generally, loan amounts must be in excess of $2.5 Million and the property types are generally limited to multi-tenant properties such as multifamily properties (5+ units), office buildings, retail properties (e.g., shopping centers), self-storage facilities, or industrial properties (e.g., flex space or warehouses). Flagged hotels are also eligible for CMBS financing, as are single, credit tenant properties.

Loan Amount Min. Rate Term Length Closing Time Max LTV Amort.
$2.5M + 4%'s 5, 7, 10-yrs fixed 4 - 8 weeks 75% Up to 30 yrs

Freddie Mac Multifamily Small Balance

The Freddie Mac Small Balance Loan Program is one of the leading financing solutions for multifamily investors, as it provides highly competitive rates, a low cost, streamlined structure, high leverage ratios (up to 80% LTV), flexible prepayment options, a variety of fixed and variable rate programs, and is non-recourse. Loan amounts are limited to $1,000,000 to $6,000,000. Loan proceeds may be used to acquire or finance multifamily properties (5+ units), including those with tax abatements or section 8 vouchers.

Loan Amount Min. Rate Term Length Closing Time Max LTV Amort.
$1M - $6M 4%'s 5, 7, 10, 20 yrs 4 - 6 weeks 80% Up to 30 yrs

Fannie Mae Multifamily Small Balance

The Fannie Mae Small Balance Loan Program is popular choice among multifamily investors, as it provides highly competitive rates, a low-cost structure, high leverage ratios (up to 80% LTV), flexible prepayment options and non-recourse. Loan amounts are limited to $750,000 to $5,000,000. The program offers a variety of fixed and adjustable rate options to fit any budget, including a full term interest-only option. The Fannie Mae Small Balance Loan Program may be used to acquire or refinance multifamily properties (5+ units), as well as mixed use properties (limited to 25% commercial rentable space with no greater than 20% of effective gross income), and certain Condominium Properties (without fractured ownership).

Loan Amount Min. Rate Term Length Closing Time Max LTV Amort.
$750K - $5M 4%'s 5, 7, 10, 12, 15, 30 yrs 4 - 6 weeks 80% Up to 30 yrs

Stated Income For Investors

The Stated Income Loan Program is geared towards borrowers who might not qualify for traditional financing based on their tax returns. Instead, underwriting is based on a combination of bank statements and the sponsor’s credit score. It’s also a great loan program for smaller loans (under $1 Million) and for class B and C properties. Notably, you can get up to 30-year terms with no balloon. Due to the low documentation and increased risk, this loan program requires a minimum credit score in the 600s and the maximum loan to value ratio is generally lower than what banks offer.

Loan Amount Min. Rate Term Length Closing Time Max LTV Amort.
$250K - $5M 6.50% Up to 30 yrs 3 - 6 weeks 75% Up to 30 yrs

Bridge Program

A bridge loan is a short-term loan that provides financing to acquire a property when traditional financing solutions are unavailable or impractical due to timing restrictions or where the property is unstabilized. Bridge loans are typically arranged quickly, even in a matter of a few days, with relatively little documentation. As private short-term loans, they have higher rates and fees versus conventional or permanent financing, and can be non-recourse based on the characteristics of the deal.

Loan Amount Min. Rate Term Length Closing Time Max LTV Amort.
$500K + 7.99% 6-36 mos 1 -3 weeks 70% Interest Only

Compare All Loan Programs

Eligible Programs Loan Amount Min. Rate Term Length Closing Time Max LTV Amortization
Bank & Credit Union - Investor $500K + 4%'s Up to 10 yrs 4 - 6 weeks 75% Up to 25 yrs
Bank & Credit Union - O/O $500K + 4%'s Up to 15 yrs 4 - 6 weeks 80% Up to 25 yrs
CMBS $2.5M + 4%'s 5, 7, 10-yrs fixed 4 - 8 weeks 75% Up to 30 yrs
Freddie Mac Multifamily $1M - $6M 4%'s 5, 7, 10, 20 yrs 4 - 6 weeks 80% Up to 30 yrs
Fannie Mae Multifamily $750K - $5M 4%'s 5, 7, 10, 12, 15, 30-yrs 4 - 6 weeks 80% Up to 30 yrs
SBA 504 $500K - $20M 4%'s Up to 25 yrs 4 - 6 weeks 90% Up to 25 yrs
SBA 7(a) $500K - $5M 6%'s Up to 25 yrs 4 - 6 weeks 90% Up to 25 yrs
Stated Income - Investor $250K - $5M 6.50% Up to 30 yrs 3 - 6 weeks 75% Up to 30 yrs
Stated Income - Biz. Occ. $250K - $5M 6.50% Up to 30 yrs 3 - 6 weeks 75% Up to 30 yrs
Bridge $500K + 7.99% 6 - 36 months 1 - 3 weeks 70% Interest Only