Access the deepest, most competitive multifamily capital markets through agency lending programs. Commercial Lending Solutions delivers institutional terms with proven execution on government-sponsored enterprise financing.
Fannie Mae and Freddie Mac, the government-sponsored enterprises (GSEs), provide unparalleled access to the U.S. capital markets for multifamily financing. Their congressional mandate to support multifamily housing translates to the most competitive terms available: the lowest rates, highest leverage, longest terms, and most flexible structures in commercial real estate.
Unlike life companies constrained by their investment portfolios or CMBS lenders dependent on secondary market appetite, the agencies benefit from implicit government backing and access to unlimited capital. This structural advantage allows them to offer consistent, institutional-quality financing regardless of market conditions.
The result is a $1+ trillion multifamily lending market where agency loans represent the gold standard. For investors seeking optimal cost of capital on stabilized multifamily assets, agency lending provides unmatched execution.
Fannie Mae's flagship program executed through approved DUS lenders. Offers streamlined underwriting, competitive pricing, and the broadest range of multifamily property types. Standard terms include 5, 7, 10, and 12-year fixed rates with 30-year amortization and up to 80% LTV for stabilized properties.
Premium pricing for energy-efficient properties meeting Fannie Mae's Green Building Certification or agreeing to energy/water reduction targets. Rate reductions of 10-25 basis points available. Properties must achieve recognized green certifications or commit to measurable utility improvements.
Specialized program for on-campus and proximate off-campus student housing. Requires master lease with qualifying educational institution or demonstrated enrollment-driven cash flow stability. Lower leverage typically required due to specialized use.
Financing for manufactured housing communities (MHC) with 5+ pads. Requires site control, utility infrastructure, and compliance with community development standards. Specialized underwriting for pad rent and resident-owned unit dynamics.
Independent living and assisted living facilities meeting Fannie Mae's senior housing criteria. Properties must demonstrate stable operations, appropriate licensing, and compliance with applicable healthcare regulations. Enhanced scrutiny on operating performance and management experience.
Enhanced terms for properties serving low- and moderate-income tenants. Includes rent-restricted and workforce housing programs. Rate improvements and higher leverage available for properties with long-term affordability commitments or government subsidy contracts.
Note: Fannie Mae small balance loans ($1M-$6M) are available but fall below our minimum loan threshold. These transactions require different execution channels and fee structures.
Freddie Mac's core multifamily lending platform executed through Optigo lenders. Competitive with Fannie DUS on standard multifamily assets. Often provides alternative execution when Fannie Mae capacity is constrained or pricing is less favorable. Full range of fixed-rate terms available.
Freddie Mac's affordable housing initiative offering enhanced terms for rent-restricted properties. Rate reductions and higher leverage available for properties serving households at or below area median income thresholds. Requires long-term affordability commitments.
Financing for properties requiring capital improvements up to $60K per unit. Allows renovation budgets to be included in loan proceeds with controlled release mechanisms. Requires detailed construction plans, budgets, and experienced development teams.
Short-term floating rate bridge loans for transitional properties. Typically 3-5 year terms with extension options. Includes interest rate cap requirements. Ideal for properties undergoing lease-up, renovation, or market repositioning requiring fixed-rate refinance runway.
Freddie Mac's green lending program offering rate reductions for energy-efficient properties. Similar to Fannie Mae Green Rewards with utility reduction targets and green certification requirements. Rate improvements of 10-25 basis points depending on property performance and commitments.
Additional financing on properties with existing Freddie Mac loans. Allows borrowers to extract equity without refinancing existing favorable-rate debt. Combined LTV restrictions apply, and supplemental loans typically price at higher spreads than first mortgages.
Note: Freddie Mac Small Balance Loans (SBL) serve the same sub-$6M market as Fannie Mae small balance but require specialized origination channels outside our standard execution.
With the 10-year Treasury stabilizing in the 4.25%-4.40% range, agency spreads reflect continued investor confidence in GSE paper and robust multifamily fundamentals. Current all-in pricing reflects the agencies' ongoing competitive advantages and mission-driven mandates.
Agency lenders offer sophisticated rate management tools allowing borrowers to lock interest rates early in the process and secure forward commitments for future closings. These programs provide critical certainty in volatile rate environments.
Lock rates at application or early underwriting stages, typically 60-120 days before closing. Requires rate lock deposit (usually 1% of loan amount) and commitment to proceed. Extensions available for additional fees if closing delays occur.
Secure financing commitments for future delivery up to 18 months forward. Ideal for properties under construction, renovation, or requiring time for stabilization. Higher deposits required but provides maximum execution certainty.
Access Fannie Mae and Freddie Mac's institutional multifamily capital through Commercial Lending Solutions' proven agency lending execution. Our team delivers competitive rates, optimal terms, and reliable closings on complex transactions.
Trevor Damyan
Commercial Mortgage Broker
Los Angeles, California
DRE #02103204