This story is part of the Investing in What's Next series sponsored by Freddie Mac Multifamily.
Freddie Mac Multifamily has tripled the volume of its Small-Balance Loan (SBL) business in less than four years, reports Christine Serlin in MultiFamily Executive, sister publication to Affordable Housing Finance.
The growing SBL business focuses on a streamlined process and paperwork to facilitate access to affordable capital for owners of small apartment buildings with five or more units.
Launched at the end of 2014, the business has financed over 7,200 loans, ranging from $1 million to $7.5 million, totaling about $18 billion. In 2018 alone, the SBL team anticipates closing more than 3,000 loans.
“The reason for growth is market demand for a really strong product and a seller-servicer network that’s tripled in capacity, maybe even more than that,” says David Cardwell, senior director, production and sales, for SBL at Freddie Mac Multifamily. “We’re seeing more investment this year in the seller-servicer network. They’ve broadened their footprints, and the marketplace has been receptive to the product. If you have a good product and are growing your sales teams, you’re going to have success.”
Click on the link below to read more about the SBL program.Read More