C/MF Briefs: Silver Hill Funding, Fannie Mae, Freddie Mac
Silver Hill Funding, Coral Gables, Fla., introduced a new Multifamily Streamline Program for small-balance commercial mortgage loans from $250,000 to $1 million that does not require tax returns or 4506-T forms.
The direct small-balance commercial mortgage lender said the program will appeal to a historically underserved group of creditworthy investors who may be unable to provide sufficient income verification.
Silver Hill Funding Senior Vice President and National Sales Manager Michael Boggiano said the Streamline Program will work for a wide range of borrower types including those who cannot meet traditional documentation requirements or investors whose tax returns do not accurately reflect the success of their businesses. “These loans represent a significant income opportunity for mortgage brokers and other originators, thanks to the pent-up demand for small-balance commercial and the streamlined process Silver Hill has brought to the program,” he said.
Financing is available for multifamily properties that have at least five units with terms of five, seven and 10 years. Loans can be amortized up to 25 years, allow unlimited cash-outs and have no seasoning requirements.
Freddie Mac Prices $974M Multifamily K-Deal
Freddie Mac, McLean, Va., priced a K-P Series offering of Structured Pass-Through K Certificates, which are multifamily mortgage-backed securities.
The company expects to issue $974 million in K Certificates (K-P03 Certificates), which will settle on or about April 28. Freddie Mac guarantees the K-P03 Certificates, which are backed by 40 seasoned multifamily mortgages from the company’s retained portfolio.
In the K-P Series, Freddie Mac purchases and guarantees all of the securities issued by the related underlying trust. The first K-P Certificates were issued in October 2012.
Fannie Mae Prices $1.05B Multifamily Offering
Fannie Mae, Washington, D.C., priced its fourth multifamily real estate mortgage investment conduit of 2016, totaling $1.05 billion, under its Guaranteed Multifamily Structures program.
“Investor sentiment was stronger in April than earlier in the year,” said Fannie Mae Vice President of Capital Markets and Trading Josh Seiff. “The better tone gave us an opportunity to offer investors some longer-duration paper in addition to our benchmark 10-year offering.”
Fannie Mae guarantees all classes with respect to full and timely payment of interest and principal.
