FANNIE MAE NEAR STABILIZATION LOANS
Apartment Stabilization Loans for New Construction and Recently Renovated Multi-Housing Properties in Dallas Fort Worth.
Apartment Loan Amount
$10 million or greater
Apartment Stabilization Loans in DFW
Loan Amount
Minimum $3,000,000
Loan Term
5-, 7-, 10- or 15-year balloon; 20-, 25- or 30-year fully amortizing
Amortization
25 or 30 years, based on property condition; Interest-only financing is available
Loan to Value Maximum
Maximum 80% of appraised value, or if property has been purchased within the past 12 months, 80% of lower of: a) purchase price, plus value added renovation, plus 3% closing costs, or b) appraisal
Coverage Minimum
1.25x minimum
Borrower
Domestic single asset borrowing entity is required
Multifamily Mortgage Interest Rates
Risk-based “Tier” pricing, varying with LTV and DSC ratios
Prepayment Terms
Yield Maintenance with no lockout, defeasance, or fixed, step-down prepayment schedules
Third Party Reports
MAI Appraisal, Physical Needs Assessment, and Environmental Phase I Assessment are required, plus Seismic Report may be required for properties in Seismic Zones 3 and 4
Reserves
Tax and insurance escrows are required; Funded Repair and Replacement escrow is required, based on engineer’s Physical Needs Assessment; For loans of less than 65% of value with no deferred maintenance, funding of repair and replacement reserve can be waived at lender’s discretion
Application Fee
$15,000; covers 3rd party reports and processing/underwriting costs
Origination Fee
Fannie Mae requires minimum origination fee equal to 1% of loan amount for loans of $9 million or less;
Minimum fee for loans over $9 million through $20 million is the greater of 0.8 percent or $90,000; Fees decrease further is increasing loan size; Origination fee can be charged “outside” of the interest rate as a separate fee, or it can be built into the rate
Legal Fees
$8,000 to $12,000 varying with characteristics of the deal
Timing
45-60 days from application to commitment; dependent on 3rd party report timing and borrower’s submission of due diligence
Rate Lock
Typically, lock occurs after commitment is issued; Streamlined Rate Lock option is available, allowing rate lock within 3-4 weeks of application
Assumability
Loan is assumable, subject to lender approval of proposed replacement borrower; Fees include 1% assumption fee, part of which is paid to Fannie Mae, and a $3,000 processing fee to cover lender’s underwriting expenses
For current Fannie Mae apartment loan mortgage rates and custom quotes, contact our multifamily lenders in Dallas
Call For a Quote:
(214) 679-9673
Related Fannie Mae Loan Options
Fannie Mae Small Mortgage Loans
Streamlined fixed rate and variable rate financing for multifamily, manufactured housing and cooperative properties.
Fannie Mae Structured Adjustable-Rate Mortgage Loan
Fannie Mae Multifamily Mortgage Lenders in DFW Dallas Fort Worth for long term financing with convertible low variable interest rate to a fixed rate loans.
Fannie Mae Unfunded Forward Multifamily Affordable Housing Loan
Fannie Mae provides a 24- to 30-month forward commitment with or without rate lock prior to delivery of the permanent loan.