Fannie Mae’s Multifamily Mortgage Business offers first lien and supplemental mortgage loans that support additional loan proceeds for energy and water efficiency renovations for existing multifamily properties within New York City’s five boroughs. This program provides competitive pricing and a speedy execution. Eligible properties include conventional, affordable housing, cooperative properties, and energy efficient multifamily properties in New York City.
| Fannie Mae M-PIRE Apartment Loans | |
| Term | 5, 7, and 10 years |
| Amortization | 30 years |
| Max LTV | The max LTV may be no more than 5 percent greater than the maximum allowable LTV ratio for that loan type and lender contract, as listed in Fannie Mae Multifamily Underwriting Standards. |
| Max LTV | 5% higher than applicable LTV limitation for the mortgage loan and the underlying property. |
| Min DSCR DSCR Calculator | Loans must underwrite to a DSCR no more than 5 basis points lower than standard underwriting guidelines when underwriting the loan with the additional loan proceeds but without the benefit of the reduced, projected energy and water cost savings. |
| Recourse Requirements Loss | Standard recourse carve-outs apply. |
| Rate Lock | Standard rate lock requirements apply. |
| Escrows | Replacement reserve, tax, and insurance escrows are typically required for higher leverage transactions. |
| Third-Party Reports | - Standard third-party reports including Appraisal, Phase 1 Environmental Assessment, and a
Physical Needs Assessment are required. - The Physical Needs Assessment must include the new High Performance Building module, or an equivalent scope of work that meets the requirements of the ASHRAE Level 2 audit. |
| Interest Rate | Fixed Rate |
| Interest Rate and Accrual Method | Fixed rate. 30/360 and Actual/360 accrual methods are available. |
| Rate Lock | Standard rate lock requirements apply. |
| Assumption | Loans are typically assumable. |
| Prepayment Options | Yield maintenance and other graduated prepayment options are available. |
| Supplemental Loans | Supplemental M-PIRE loans can only be placed behind an existing Fannie Mae loan. |
