The Freddie Mac revolving credit facility provides the ability to lock credit terms and spreads prior to identifying properties, certainty of execution, continuous access to capital, and is an ideal financing vehicle for transitional assets.
| Revolving Credit Facility Options and Requirements | |
| Description | Secured line-of-credit; borrower can move assets in and out of the facility while adhering to the defined credit parameters |
| Type of Funding | Continuous funding as assets are moved in and out of the facility, non recourse basis |
| Collateral | - Conventional first lien mortgages for acquisition
rehabilitation/upgrade, acquisition, or refinance - No minimum occupancy rate is required |
| Facility Amount | - Initial commitment of $100 million or more |
| Facility Term | 5 years |
| Pricing | Floating rate; full-term interest-only; the facility will be indexed to a 1
month or 3
month LIBOR -Spreads locked for life of facility for three debt coverage ratio (DCR) levels and one LTV level |
| Available for Securitization | No |
| Min DSCR DSCR Calculator | 1.45x |
| Cross-Collateralization | Under one or more notes, assets will be cross-collateralized and cross-defaulted |
| Release of Collateral | Allowed |
| Assumptions | Non-assumable |
| Interest Rate Cap | Available through third-parties |
| Annual Valuation | Applicable |
| Fees | Transaction, application, legal, unused capacity and commitment, seasoning, termination and release fees may apply |
Program Plus Freddie Mac Loans
| Program Plus Options | |
|---|---|
| Fixed Rate Loans | Floating Rate Loans |
| Lease-Up Loans | Manufactured Housing Community Loans |
| Revolving Credit Facility | Student Housing Loans |
| Supplemental Loans | Value-Add Loans |
Affordable Housing Freddie Mac Loans
Other Freddie Mac Loans
| Other Freddie Loan Types | |
|---|---|
| Student Housing Loans | Small Balance Loans |
| Freddie Mac Single-Family Rental (SFR) Pilot Program | |