Multi-Family Properties


As government-sponsored entities (GSEs), Fannie Mae and Freddie Mac loans offer much better interest rates for borrowers. These institutions are often thought of as only helping traditional homeowners. 


However, they also offer some of the best rates and terms available today for experienced investors purchasing multifamily properties.  At R&A Financial we specialize in these loans and are members in a select group of official government lenders, meaning that we can get you started without having to go through a lengthy qualification process.  

The Details Matter 

Advantages of Fannie & Freddie 

Multifamily properties are known for stability during market flux, as even when times are hard people will always need a home to rent.  They provide consistent, predictable cashflow, allow others to pay off your financing, and still appreciate for profit when you sell. 

But despite all of these advantages, the rates and terms of your financing can still make or break the profitability of your investment.  This is what makes Fannie Mae and Freddie Mac loans so exciting.   

Fannie and Freddie have the lowest interest rates available. They also offer much longer terms than you will find elsewhere, such as 30 or even 40-year amortization in certain scenarios. And with their diversity of financing – from recourse to nonrecourse to bridge loans – they are always an option worth exploring for multifamily investment. 

Non-Recourse Loans 

On the other hand, for qualified investors, Fannie and Freddi offer non-recourse loans as well. In this case, lenders cannot go after the borrower’s personal assets to recoup outstanding balances. To qualify, investors must have two or more years of experience in rental property management. They must also maintain net worth equal to the amount of the Loan financing.  (Again, these requirements are only for Non-Recourse Loans from Fannie & Freddie.) 


Fannie & Freddie also offer bridge loans where the borrower pays only interest for a term of 1 to 3 years.  These are typically for value-add scenarios where the investor is undertaking renovations.  Once the value-add process is complete and the property is fully stabilized (with over 80% of it rented), Fannie and Freddie will then convert the loan into permanent financing.  Best of all, the borrower will NOT have to pay points twice! 


At R&A Financial, we are dedicated to providing you with the best financing for your investment opportunity. Whether you are acquiring a new multifamily property or refinancing one you already hold, our team will take the time with you to explore all your options. Contact us today for a 15-minute conversation that could easily save you thousands on your next investment. 

No obligation Quote

338 South Rosemead Blvd.
Pasadena, CA. 91107
(714) 782-7066