Product for the Times Multifamily ARM Loans Increase in Popularity
By Caitlin Jones
1 min read
Tax Credit Advisor, January 2012: Fannie Mae and Freddie Mac adjustable-rate mortgages have become increasingly popular with affordable rental housing developers and owners, according to lenders and others.
Freddie Mac’s multifamily ARM product has been around for years. Fannie Mae rolled out a new ARM product — the “7-6″ ARM — in 2011 to supplement an existing “Structured” ARM. The latter, but not the more common 7-6 ARM, is restricted to loans of $25 million or larger. The 7-6 refers to the seven-year term of the Fannie Mae 7-6 ARM and the 6% maximum pass-through rate for the associated mortgage-backed security. Read More…
