affordable housing financing
Afffordable Housing Small Mortgage Program
For acquisition or refinance of stabilized multifamily properties with rent and income restrictions and / or Section 8 HAP contracts
Lending Area - Nationwide
Fannie Mae and Freddie Mac
Loan Amounts: $1.5 million to $5 million in Baltimore, Boston, Chicago, Los Angeles, New York, Philadelphia, Portland, Sacrmento, San Diego, San Francisco, San Jose, Seattle and Washington DC.
Rate: 4.50% to 5.50% fixed
LTV: 80%
Term: 10 years
Amortization: 30 years
Fees: 2 points
NO UPFRONT FEE's
Recourse: Non-Recourse
Assumable: Yes, 1% fee
Requires one of the following:
* 20% of all units have rent or income restrictions to households earning no more than 50% of area median income ("AMI")
* 40% + of all units have rent or income restrictions in place to households earning no more than 60% of AMI
* 20% of all units subject to a project based Section 8 HAP contract
Prepayment: 1% minimum yield maintenance or declining schedule
Debt Service: 1.20X+
Supplemental mortgages available after 12 months of loan term or with assumption
Net Worth: Equal to loan amount and liquidity equal to 6 months P&I required
Experience: Must have experience in the past 3 years owning similar sized affordable housing project(s)
Deposit: Good Faith Deposit of 1% due upon acceptance of commitment and is refundable upon closing
Due Diligence Fee: $15,000 non-refundable for legal, 3rd party reports and processing
Closing: 45 - 60 days from complete application and commitment
NO UPFRONT FEES, we are paid when your loan is funded at closing