Arbor and Freddie Mac understood the essential position of inexpensive and market-rate rental housing and the fragmented nature of its financing after we partnered to create the Small Steadiness Mortgage (SBL) program in 2014. Arbor is proud to have helped pioneer this mortgage product, which celebrated its tenth anniversary in 2024. As a six-time Prime Optigo® Small Steadiness Loans Lender, Arbor has the proper expertise to expertly customise mortgage merchandise that can assist you meet your monetary objectives.
What Is a Small Steadiness Mortgage?
Arbor’s Freddie Mac Small Steadiness Mortgage program is designed particularly for smaller multifamily properties, simplifying a borrower’s complete mortgage course of. Starting from $1 million to $7.5 million, SBLs function extremely aggressive rates of interest, permit borrowing of as much as 80 % of the property’s worth, and provide the choice of interest-only funds for half or all the mortgage time period.
Fastened mortgage phrases can be found for 5, seven or 10 years. Eligible properties should have at the very least 5 residential models and may embrace these with tax abatements and sure business (non-residential) areas. SBL is non-recourse, that means buyers usually are not required to personally assure the mortgage.
Benefits of Selecting Freddie Mac Small Steadiness Loans
Freddie Mac’s streamlined utility course of will help debtors get hold of financing shortly and effectively. The SBL program is understood for its versatile mortgage phrases and buildings that permit debtors to decide on the choice that most closely fits their funding wants.
Different key benefits embrace:
Usually, decrease down cost choices out there
Certainty of execution
Non-recourse financing
The Arbor Small Loans Benefit
Small multifamily mortgage merchandise have been one among our group’s specialties all through our greater than 30-year historical past. Each Arbor borrower receives the identical skilled and personalised therapy no matter mortgage measurement, and when our group helped construct the SBL program with Freddie Mac, we additionally acknowledged that debtors of small loans are sometimes extra native and extra typically entrepreneurs.
Arbor’s long-time partnership with Freddie Mac and deep understanding of company necessities have been instrumental in making our group a best choice for small mortgage debtors. Freddie Mac’s SBL program is a part of its broader mission-driven lending initiative to shut the inexpensive housing provide hole within the U.S., as almost all small steadiness lending helps low-income renters.
When selecting Arbor’s SBL specialists, debtors additionally obtain:
In-house Servicing: Arbor handles all mortgage servicing internally, making certain a constant and high-quality private relationship with debtors all through the mortgage lifecycle.
Professional Underwriting: SBL loans are evaluated by trade specialists with a long time of expertise and complete information of nationwide markets.
Non-Financial institution Benefit: As a non-bank lender, Arbor doesn’t require deposits to safe a mortgage, distinguishing us from conventional banks and different non-bank lenders.
Responsiveness: Debtors shortly obtain suggestions and preliminary phrases as soon as they attain out to Arbor.
Select an Skilled Small Steadiness Loans Lender
Freddie Mac’s continued recognition of Arbor as a Prime Small Steadiness Mortgage Lender underscores our dedication to excellence. Select a companion with expertise and long-standing trade relationships who can information you thru every step of the method.
Contact Arbor immediately to find how our mortgage packages will help you obtain your multifamily funding objectives.
