B'nai B'rith Housing

BBH is a nonprofit developer whose mission is to ease the housing crisis in the Greater Boston area.

  • About Us
    • Meet our Executive Director & Staff
    • Board of Directors
    • Real Estate Council of Advisors
    • Our Corporate Sponsors
    • Nonprofit Partners
    • Distinguished Achievement Award Honorees
    • Our Impact
  • Our Properties
    • The Coolidge at Sudbury
      • The Coolidge at Sudbury, Phase 2
    • Covenant House Communities – Brighton, MA
    • The Fairways & Carriage House at 33Comm – Newton, MA
    • The Machon – Swampscott, MA
    • Residences off Baker – West Roxbury, MA
    • Residences off River – Hyde Park, MA
  • News
    • Construction Updates
    • From Our Executive Director
    • Our Newsletters
    • Media Releases & Announcements
    • Housing News We’re Reading
  • Get Involved
    • Subscribe to Our Enews
    • Become a Donor
    • Become a Sponsor
    • Gen2Gen
    • Upcoming Events
    • Sign A Support Letter
    • Volunteer
    • Career Opportunities
    • Contact Us & Subscribe
  • Donate
Home / Housing News / Fannie Mae Boosts Small Loan Limit for Multifamily Market

Fannie Mae Boosts Small Loan Limit for Multifamily Market

February 6, 2019 by B'nai B'rith Housing News Service

Click here to view original web page at www.multihousingnews.com

Fannie Mae will increase the loan limit of small mortgage loans to $6 million from $3 million or less nationwide, and $5 million or less in high-cost markets. The increase reinforces Fannie Mae’s continuing endeavors to guarantee an adequate supply of affordable housing for the nation’s working families.

“We have a strong track record in the small loan space, and continuously calibrate our product features and credit parameters,” Ann Atkinson, Fannie Mae director, multifamily customer engagement, told MHN. “Multifamily property values have been on the rise over the years, supporting the increase to our small loan definition up to $6 million nationwide.”

“We always look for ways to increase delegation and offer a better process for lenders,” added Paul Gembara, director, multifamily credit risk for Fannie Mae. “The increase in our loan limit to $6 million truly supports multifamily workforce housing. This change creates more opportunity for small loan borrowers and lenders to get the benefit of our streamlined underwriting, asset management, and reduced origination costs.”

Industry accord

Rick Wolf, head of Greystone’s small loans platform, noted that Fannie Mae’s move is a very significant accomplishment and enhancement for the benefit of workforce housing. “Expanding the efficiencies and competitiveness of the Fannie Mae small loan product to a $6 million loan limit is a definite positive for borrowers and renters alike, and will help better position the small loans product in the market,” he added.

By increasing the loan limit for its small mortgage loan program, Fannie Mae will provide more capital and liquidity to the small loan marketplace, helping address the large affordable workforce housing supply woes impacting the nation, observed Michael Winters, vice president, multifamily customer engagement for Fannie Mae.

“Our commitment to providing sustainable financing solutions that enhance affordability, security and convenience of financing smaller properties plays an important role in securing a key source of housing for working families,” he added.

New eligible markets

In addition to increasing the small mortgage loan size limit, Fannie Mae added a number of new eligible markets that receive certain pricing and underwriting benefits. These new metropolitan statistical areas (MSAs) are Denver, Miami, Minneapolis and Salt Lake City. All of these markets have witnessed credit and economic performance not dissimilar to Fannie Mae’s other eligible MSAs, which include Baltimore, Boston, Chicago, Los Angeles, New York City, Oxnard, Calif., Philadelphia, Portland, Ore., Sacramento, San Diego, San Francisco, San Jose, Seattle and Washington, D.C.

Filed Under: Housing News Tagged With: affordable, housing

Subscribe to Our E-News

  • I agree to B'nai B'rith Housing's privacy policy and consent to receiving periodic communications.
  • This field is for validation purposes and should be left unchanged.

Follow BBH on Twitter

Tweets by bbhousing

In Their Own Words…

Being able to stay in my hometown, near friends and family was great. And now I have a whole new community at The Coolidge to socialize with, too. It is wonderful!
~ Resident, The Coolidge at Sudbury

Contact Us

34 Washington Street
Brighton, MA 02135
Phone: 617-731-5290
Fax: 617-739-0124

Follow Us

  • Facebook
  • Twitter
  • YouTube

Support BBH – Your Gift Matters!

Image of GuideStar and PayPal logos.

Thanks to Our 2019 Lead Sponsors

  • Jobs
  • Past Events
  • Donate
  • Subscribe to Our Enews