Greystone Funds $1B in Freddie Mac Small Balance Loans
- Oct 31, 2017
Greystone funded $1 billion in Freddie Mac’s Small Balance Loans in 2017, becoming the first lender to reach that mark in a single year.
“We’re dedicated to the product,” Rick Wolf, Greystone’s head of small balance loan production, told MHN. “It means that the product is competitive. To be able to go out in the market and get quality business that provides a level of financing for workforce housing is a very important milestone to achieve.”
Freddie Mac’s SBL platform offers loan options ranging between $1 million and $6 million on multifamily properties consisting of between five and 50 units. It features six different hybrid ARM and fixed-rate financing solutions with 30-year amortization and up to 80 percent LTV in particular markets.
In 2014, Greystone became the first lender to close an SBL loan—a $1.9 million loan on a six-unit property in Newport Beach, Calif.
“Greystone has been a strong partner from the inception of our Small Balance Loan Program and remains a pillar of its success,” said David Brickman, Freddie Mac’s executive vice president & head of Freddie Mac Multifamily. “On behalf of Freddie Mac Multifamily, we congratulate Greystone on achieving this significant milestone, and look forward to strengthening our partnership in the months and years to come.”
Over the last three years, the SBL offering has produced more than 4,000 loans and funded approximately $10.5 billion.
“Greystone has been in the small loan business for over a decade, and when the Freddie Mac SBL product came along, we saw it as a real opportunity,” Wolf said. “Appetite for the Freddie Mac Small Balance Loan offering is growing by leaps and bounds, and we look forward to the next billion in funded deals.”
Image courtesy of Greystone