Multifamily Loan

A Multifamily Loan is a type of mortgage specifically designed for the purchase or refinancing of multifamily property types such as apartment buildings or condominium complexes. These loans are offered by various lenders including banks, credit unions, and government agencies like the Federal Housing Administration (FHA) and Fannie Mae. The number of units in the property, the location, and the financial health of the borrower can all influence the terms of the loan. Multifamily loans typically come with competitive interest rates and may have longer repayment terms compared to other types of loans. They are an ideal financing option for real estate investors looking to generate income through rental units or for developers constructing multifamily properties.

The rental income potential can also factor into the loan approval process.