Apartment Building

Freddie Mac Floating Rate Apartment Loans


The Freddie Mac floating rate program provides streamlined and flexible financing at low cost for apartment and multifamily properties. This program gives the borrower a variety of options to suit their loan characteristics.


Floating Rate Loan Options and Requirements
Eligible ProductsMultifamily housing, purpose-built student housing, seniors housing, and Targeted Affordable Housing.
Loan Size$5 million+
Pricing Index1-month LIBOR index
Early Spread Lock OptionsEarly spread lock option available for varying durations, typically ranging from 60 to 120 days from spread lock until Freddie Mac purchase, as well as our Fast Track Early RateLock option for conventional transactions for 90 or 120 days until Freddie Mac purchase; Sellers should consult with their regional Freddie Mac representative to determine eligibility.
Term5-, 7-, and 10-year terms
Interest Rate CapBorrower may obtain its own cap coverage from a third-party provider.
Interest-Only PeriodPartial-term and full-term interest-only available; see chart below and related footnotes
Max Amort30 years
Min DSCR DSCR Calculator1.25x
Amortization CalculationsActual/360
Lockout Period1 - 2 years
Tax & Insurance EscrowTypically Required
Replacement Reserve DepositTypically Required
RecourseNon-recourse except for standard carve-out provisions
Prepayment OptionsGraduated prepayment options
Supplemental Financing Yes, subject to requirements specified in the Loan Agreement

Freddie Mac Program Plus