Senior Housing Financing from a Dedicated Lender
Commercial Loan Direct (CLD) provides comprehensive senior housing multifamily loans and senior housing financing for the full spectrum of seniors housing properties — from congregate care and independent living communities to assisted living (AL), Alzheimer's/memory care (ALZ), skilled nursing facilities (SNF), and continuing care retirement communities (CCRCs).
Our correspondent relationships with Fannie Mae, Freddie Mac, and FHA — combined with in-house bridge, mezzanine, and USDA programs — allow us to structure senior housing loans for acquisitions, refinances, value-add renovations, and new construction across all 50 states.
Senior Housing Property Types We Finance
CLD structures senior housing multifamily loans across every care-level category.
Assisted Living (AL)
Residential communities providing personal care services for seniors who need help with daily activities.
Memory Care / ALZ
Specialized facilities offering secure, structured environments for residents with Alzheimer's and dementia.
Independent Living (IL)
Age-restricted apartment communities and congregate care facilities for active, independent seniors.
Skilled Nursing (SNF)
Licensed facilities delivering round-the-clock medical care for seniors with complex health needs.
CCRCs
Continuing care retirement communities offering a full continuum of care from IL through skilled nursing on one campus.
Small Rural Hospitals
FHA and USDA financing available for acute care and critical access hospitals serving rural communities.
Senior Housing Rates
| Loan Type | Min Loan Amount | Max LTV | Term Length | Amortization | Rates |
|---|---|---|---|---|---|
| Conventional | $1,000,000 | 75 | 3 - 30 Years | 10 - 30 Years | 5.18% - 8.75% |
| FHA / HUD | $3,000,000 | 80 | 30 - 40 Years | 30 - 40 Years | 4.94% - 8.75% |
| Fannie Mae | $1,000,000 | 80 | 3 - 30 Years | 15 - 30 Years | 5.46% - 6.26% |
| Freddie Mac | $1,000,000 | 85 | 5 - 30 Years | 30 Years | 5.76% - 9.23% |
| USDA | $1,000,000 | 85 | 3 - 30 Years | 15 - 30 Years | 6.00% - 8.75% |
| Bridge | $3,000,000 | 80 | 1 - 3 Years | 15 - 30 Years | 5.75% - 12.75% |
Senior Housing Multifamily Loan Programs
Agency and non-agency senior housing financing options for purchase, refinance, and rehabilitation.
Fannie Mae Senior Housing Financing
Fannie Mae's Delegated Underwriting and Servicing (DUS) platform provides long-term, fixed and adjustable-rate senior housing multifamily loans with competitive leverage and non-recourse terms.
Fixed-Rate Mortgage: The Fixed-Rate product is for the purchase or refinance of existing, stabilized properties including traditional, affordable housing, seniors housing, student housing, and manufactured housing communities. Maximum LTV is 80% for purchases and 75% for refinances with a 1.25x DSCR requirement. Loan terms are from 5–15 years.
Structured Adjustable-Rate Mortgage: The Structured ARM product is for the purchase or refinance of existing, stabilized traditional and manufactured housing communities. Senior housing, student housing, and moderate rehabilitation mortgages may be eligible on a case-by-case basis. The minimum loan amount is $25 million, maximum LTV is 75%, minimum DSCR is 1.0x, and terms range from 5–10 years.
Adjustable Rate Mortgage 7-6: The ARM 7-6 product is for the purchase or refinance of existing, stabilized seniors housing properties. Maximum LTV is 80% for purchases and 75% for refinances with a 1.00x DSCR requirement at the loan cap rate. Loan terms are 7 years with a 1-year lock-out period and a 1% prepayment premium thereafter.
Senior Housing Financing: The dedicated Senior Housing product provides senior housing financing for the purchase or refinance of existing properties offering Independent Living (IL), Assisted Living (AL), Alzheimer's/Dementia Care (ALZ), or any combination thereof. Sponsors and Operators must have a minimum of five years' experience in the seniors housing industry and a minimum of five stabilized properties. Maximum LTV is 75%; minimum DSCR is 1.30x for IL, 1.40x for AL, and 1.45x for ALZ.
Supplemental: Subordinate financing for properties with a pre-existing fixed or adjustable Fannie Mae Mortgage Loan in place for a minimum of 12 months. Maximum LTV is 75% and minimum DSCR is 1.30x. New third-party reports may not be required and early rate lock is available for a fee.
Choice Refinance Program: A streamlined refinance process with more limited documentation for existing DUS Cash or MBS mortgages refinanced by the same lender. Properties must be stabilized and well-maintained, and mortgages must be in good standing.
Freddie Mac Senior Housing Financing
Freddie Mac's Optigo® platform delivers competitive senior housing multifamily loans with fixed and floating-rate structures, interest-only periods, and advance rate lock options.
Senior Housing Loan: Acquisition or refinance of senior housing properties including independent living communities, assisted living communities, skilled nursing or memory care facilities. Borrowers must have experience as an owner/operator of comparable facilities. Rates can be floating or fixed, with the ability to advance rate lock.
Small Balance Loans: The Freddie Mac small balance program provides senior housing financing using hybrid ARM or fixed-rate loan products, offering partial-term and full-term interest-only. This program features a streamlined process and competitive pricing. Loan amounts range from $1 million to $5 million.
FHA Senior Housing Financing
HUD/FHA programs offer the highest leverage (up to 95% LTV) and longest amortization (up to 40 years) available for senior housing multifamily loans, with fully non-recourse, assumable structures.
Supportive Housing for the Elderly — Section 202: Provides interest-free capital advances to finance the construction, rehabilitation, or acquisition of supportive housing projects for very low-income elderly persons, along with rent subsidies to keep units affordable.
Supportive Housing for Persons with Disabilities — Section 811: Provides interest-free capital advances and subsidies to nonprofit developers of affordable housing for persons with disabilities, and rental assistance to state housing agencies.
Assisted Living Conversion Program (ALCP): Grants to private, nonprofit owners of eligible developments that wish to convert dwelling units into an Assisted Living Facility (ALF) or Service-Enriched Housing (SEH) for elderly residents. Services such as personal care, transportation, meals, housekeeping, and laundry must be available through a licensed third party.
Demonstration Program for Elderly Housing for Intergenerational Families: Provides Capital Advance funding to cover the cost of expanding intergenerational housing. Section 202 Capital Advance projects funded under this program qualify for Project Rental Assistance Contract (PRAC) funds.
Emergency Capital Repair Program (ECRP): Grants to private nonprofit owners of eligible elderly housing developments to make emergency capital repairs that address immediate threats to tenant health, safety, and quality of life.
Skilled Nursing Facilities (SNF) & Special Use
Senior housing financing parameters for skilled nursing and special-use healthcare properties.
| Program | Refi | Construction | Substantial Rehab | Term | Max LTV | Property Type |
|---|---|---|---|---|---|---|
| FHA | Yes | Yes | Yes | 30–40 yr | 95% | ALF / SNF |
| Fannie Mae | Yes | No | Yes | 10–25 yr am. | 75% | ALF |
| Mezzanine | Yes | No | Yes | 2–3 yr | 75% | ALF / SNF |
| Bridge | Yes | No | Yes | 2–5 yr | 75% | ALF / SNF |
Small, Rural, and Community Hospitals
Senior housing financing parameters for acute care facilities in rural and underserved markets.
| Program | Refi w/ Repairs | Construction | Substantial Rehab | Term | Max LTV | Property Type |
|---|---|---|---|---|---|---|
| FHA 1 | Yes | Yes | Yes | 25 yr | 90% | Acute Care |
| USDA 3 | Yes | No | No | 10–25 yr am. | 75% | Acute Care |
- 1 Including tax-exempt bond enhancement.
- 2 Requires 20% of loan proceeds for repairs/equipment.
- 3 No tax-exempt bond enhancement.
Seniors Independent Living
Senior housing multifamily loan parameters for independent living communities and congregate care facilities.
| Program | Refi | Construction | Substantial Rehab | Term | Max LTV | Property Type |
|---|---|---|---|---|---|---|
| FHA | Yes | Yes | Yes | 35–40 yr | 95% | Age-Restricted Apts. |
| Fannie Mae | Yes | No | Yes | 10–25 yr am. | 75% | Congregate Care |
| Mezzanine | Yes | No | Yes | 2–3 yr | 85% | Congregate Care |
| Bridge | Yes | No | Yes | 2–5 yr | 85% | Congregate Care |
Why Choose CLD for Senior Housing Financing?
Operators and investors choose Commercial Loan Direct for senior housing multifamily loans because we combine agency expertise with a non-bureaucratic, borrower-first process.
Senior Housing Financing Process
From first contact to funding, CLD keeps the senior housing loan process transparent and efficient.
Senior Housing Financing FAQ
Common questions about senior housing multifamily loans and the financing process.
