FANNIE MAE DUS® Structured Adjustable Rate Mortgage (ARM)

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Arbor’s Cooperative Apartment Financing program provides blanket mortgage financing for cooperative multifamily housing.
Loan Amount

$25,000,000 minimum

Loan Term 5, 7 or 10 years
Amortization Up to 30 Years
Minimum DSC

1.00 at Maximum Interest Rate

Maximum LTV 75%
Rate Structure Priced off the one-month LIBOR or three-month LIBOR. Convertible and nonconvertible options available.
Eligible Property

Multifamily (minimum five units),

Eligible Borrower

Single-asset entity

Occupancy Requirement 85% physical occupancy, 70% economic occupancy
Tax and Insurance Escrows

Monthly deposits required.

Replacement Reserve Underwritten at a minimum $250 per unit per annum
Recourse Non-recourse with standard carve-outs
Commercial Space Maximum 35% of net rentable area and maximum 20% of effective gross income
Required Reports Appraisal, Properly Condition Assessment and Phase I
Prepayment Lockout for one year followed by a 1% prepayment premium or declining prepayment premium option
Assumable Subject to approval and 1% fee (non-recourse loans only)
Subordinate Financing Not allowed without written approval
Supplemental Loans Not permitted prior to conversion to fixed rate
Pricing Tiered Pricing Matrix. More favorable terms available for higher DSC and lower LTV.
Rate Lock 30-day commitments are available.
Application Deposit $12,500. Covers all estimated underwriting costs (including processing fee).
Processing Fee $3,000 non-refundable
Origination Fee Minimum 1%. Par pricing available.
Legal/Closing Fee Arbor’s Counsel Fee to be determined at application
Good Faith Deposit 2% of loan amount
Arbor Commercial Mortgage | | 800.ARBOR.10