Are Fannie Mae single family loans non-recourse?
Are Fannie Mae single family loans non-recourse?
Fannie Mae offers non-recourse financing where the debt is secured by the loan collateral, and the lender is not allowed to come after any personal assets unless there is fraud or deception or other criminal acts.
Which loans have a non-recourse feature?
A non-recourse loan, more broadly, is any consumer or commercial debt that is secured only by collateral. In case of default, the lender may not seize any assets of the borrower beyond the collateral. A mortgage loan is typically a non-recourse loan.
What are the guidelines for Fannie Mae loans?
Fannie Mae guidelines for conventional mortgages
| Fannie Mae guideline type | Minimum requirement |
|---|---|
| Credit score | 620 |
| Total debt-to-income ratio | Cannot exceed 45%, with some exceptions up to 50% |
| Cash reserves | Up to six months, depending on credit score, down payment amount, DTI ratio, occupancy type and property type |
Are conventional loans non-recourse?
Nonrecourse debt does not personally hold the borrower liable for the debt beyond the pledged collateral of the loan. Most traditional real estate loans like conventional, commercial, or home loans, are full recourse debt. Most governmental agency loans, like an SBA loan, FHA, VA, or USDA loans are nonrecourse loans.
Are multifamily loans non-recourse?
Most bank loans, mini perm loans, and commercial construction loans are typically recourse loans, while CMBS financing, Fannie Mae® and Freddie Mac® multifamily loans, mezzanine loans, life company loans, and HUD® multifamily loans are generally non-recourse financial instruments.
Are conventional loans non recourse?
Are multifamily loans non recourse?
How do I know if my loan is recourse or nonrecourse?
How do I know if I have an existing recourse loan or nonrecourse loan? In most cases your original note and mortgage should indicate if the loan is recourse or nonrecourse, however, you can ask your lender to confirm the type of debt.
What is the difference between a Fannie Mae and Freddie Mac loan?
The primary difference between Freddie Mac and Fannie Mae is where they source their mortgages from. Fannie Mae buys mortgages from larger, commercial banks, while Freddie Mac buys them from much smaller banks.
Are Fannie Mae multifamily loans good for rehabilitation housing?
As we mentioned previously, Fannie Mae multifamily loans are particularly well suited for affordable housing financing, and can easily fund housing affordable housing rehabilitation— especially when paired with the LIHTC (Low-Income Housing Tax Credit) program.
What is the Fannie Mae Dus platform?
The DUS platform is Fannie Mae’s conventional multifamily loan program for loans above $6 million with no maximum loan size. More individual and institutional investors turn to the Fannie Mae DUS platform for their multifamily financing needs than any other source.
What are the terms of the Fannie Mae small loan?
Just like the Fannie Mae Multifamily Standard Loan, the Fannie Mae Small Loan offers fixed and variable rate loan terms of up to 30 years and an up to 80% LTV allowance. Click the link below to learn more, or simply click here to download our easy-to-read Fannie Mae Small Loan term sheet.
Is a Fannie Mae student housing loan right for You?
At colleges and universities across America, student housing is in high demand– and if you’re an investor looking to capitalize on that demand, a Fannie Mae Student Housing Loan could be the perfect choice.
