Washington, D.C.—This month Fannie Mae marks the 25th anniversary of its Delegated Underwriting and Servicing (DUS®) program, a unique risk-sharing model that provides financing to the multifamily housing market. Fannie Mae relies primarily on the DUS network of 24 financial institutions and independent mortgage lenders to execute its multifamily business. In 2012, 98 percent of the multifamily debt Fannie Mae acquired was delivered through the DUS platform. Since the program was formally announced to participating lenders on April 4, 1988, Fannie Mae and its lender partners have provided more than $270 billion in liquidity to the mortgage market under the DUS program to finance more than 5.8 million units of multifamily housing.
DUS lenders must abide by rigorous credit and underwriting criteria and submit to Fannie Mae’s ongoing credit review and monitoring. They can underwrite, close, and deliver loans on multifamily properties to Fannie Mae and typically retain one-third of the risk on every loan.
Borrowers also value the liquidity and flexible loan structuring that is available through the DUS program and its lender network.
Fannie Mae’s DUS lenders include:
- Alliant Capital, LLC
- AmeriSphere Multifamily, LLC
- Arbor Commercial Funding, LLC
- Beech Street Capital, LLC
- Berkadia Commercial Mortgage, LLC
- Berkeley Point Capital LLC
- CBRE Multifamily Capital, Inc.
- Centerline Capital Group
- Citibank, N.A.
- Dougherty Mortgage LLC
- Grandbridge Real Estate Capital, LLC
- Greystone Servicing Corporation, Inc.
- HomeStreet Capital Corporation
- HSBC Bank USA, N.A.
- JPMorgan Chase & Co.
- KeyCorp Real Estate Capital Markets, Inc.
- M&T Realty Capital Corporation
- Oak Grove Capital
- Pillar Multifamily, LLC
- PNC Real Estate
- Prudential Mortgage Capital Company
- Red Mortgage Capital, LLC
- Walker & Dunlop, LLC
- Wells Fargo Multifamily Capital