In an effort to ramp up its program to buy loans backed by apartment communities, Freddie Mac is making financing more available for owners and helping to shore up the multifamily housing market.
Freddie Mac, the government-backed mortgage-financing behemoth, will likely finance more than $16 billion in apartment-building loans this year, up from $14.8 billion in 2010, said David Brickman, head of multifamily funding for Freddie Mac, based in McLean, Va.
More than 50 percent of this year’s total will come in the latter half. The majority of the loans will be bundled into commercial mortgage-backed securities (CMBS) and sold to investors, which have demonstrated hearty demand for CMBS that are issued by government-backed entities such as Freddie Mac and Fannie Mae.
Source: Wall Street Journal and NAA’s Industry Insider