Apartments which are existing or recently completed (either newly constructed or substantially rehabilitated). Properties must have a minimum occupancy of 90% at the time of commitment and the preceding three-month period.
Adjustable-rate balloon mortgages with a 5, 7 or 10-year term.
PREFERRED LOAN SIZE:
$10 million and larger.
Amount equal to the lesser of:
80% of appraised value (75% for 5-year terms); or
1.00 debt service coverage using the underwriting rate. The underwriting rate is equal to the note rate plus the Lifetime Interest Rate Cap.
100% of fixed-rate loan for same term.
Determined by the market rates at the time of rate lock. Rates vary by loan-to-value ratio, debt service coverage and property quality.
RATE ADJUSTMENT PARAMETERS:
Variety of lifetime Interest Rate Cap and Floor options.*
*The Interest Rate Cap does not have to be purchased and is already built into the pricing.
Up to 30 years.
None, except for standard exceptions to non-recourse, which are the responsibility of the Key Principal(s).
Assumable, subject to Walker & Dunlop approval and a 1% transfer fee.
No prepayment allowed for the first year; thereafter, either 1% or fixed declining prepayment options.
If borrower chooses conversion option, the loan can convert to a new 7-year or 10-year fixed-rate loan. This conversion is available during loan years 2 through 5.
Fannie Mae Supplemental Loans (second mortgages) available 12 months after initial loan closing.
Supplemental loans can be provided on a fixed or adjustable-rate basis.
125% to 150% of estimated cost of required repairs, if any, as determined by the physical inspection.
Monthly escrows for real estate taxes, property insurance and replacement reserve.
Based on estimated underwriting costs for appraisal, architectural / engineering report, environmental assessment and other loan processing costs.
Standard transaction costs, including legal fees, title insurance and survey.
PRELIMINARY SUBMISSION PACKAGE:
Include the following in your request for a loan quote:
- Property description and location map.
- Representative color photographs.
- Current rent roll and trailing 12-month operating statement with monthly detail.
- Operating history – prior 3 years, if available.
- Current year operating budget.
- Existing debt and cost basis.
- Sponsor resume.
This is a summary of general program terms, which are subject to change. This is not a commitment to lend.