Freddie Mac (FHLMC) Student Housing Multifamily Loans
The Freddie Mac Student Housing program provides flexible financing including both 30-year amortization and the potential for full-term interest-only. Freddie mac finances the refinance or acquisition of student housing properties.
|Student Housing Financing Options and Requirements|
|Loan Size||$5 million+|
|Max Amortization||30 years|
|Financing Uses||Acquisition or refinance|
|Eligible Properties||- Purpose-built student housing properties; must have a minimum of one bathroom
for every two bedrooms, and each apartment must have a separate full kitchen.
- Stabilized garden, mid-rise, and high-rise apartment properties that are greater than 50 percent- occupied by student tenants.
- Supporting college/university has 8,000 or more students; student housing properties located within close proximity to multiple schools that have a combined student body of 8,000 students or more will be considered.
- Property is located less than two miles from college/university or on a public transportation route.
|Ground Lease||Ground lease for land owned by a college or university may be permitted with prior approval|
|Lease Parameters||- Individual tenant lease by the apartment, bedroom, or by the bed.
- Rent under a master lease may be permitted with prior approval.
|Lease Term||12 months preferred|
|Lease Guaranty||Parental guaranty preferred|
|Recourse||Non-recourse except for standard carve-out provisions|
|Tax & Insurance Escrow||Typically Required|
|Min DSCR DSCR Calculator||1.3x|
Freddie Mac Program Plus
Program Plus Options