Healthy Housing Rewards® Enhanced Resident Services and Healthy Design
Arbor’s Fannie Mae Multifamily offers Healthy Housing Rewards, a product feature that provides lower pricing to finance affordable properties with healthy design features. Enhanced Resident Services is a product feature that provides lower pricing to finance affordable properties with enhanced resident services that improve the health and stability of their residents. Enhanced Resident Services include health and wellness services, work and financial capability support, and more. Healthy Design is a product feature that provides lower pricing to finance affordable properties with health-promoting design and operational features. Health-promoting design and operational features include playgrounds, fitness equipment, tobacco-free environments, green spaces, and more.
|Pricing||Healthy Design: 15 basis points discount.
Enhanced Resident Services: Up to 30 basis points discount.
|Amortization||Up to 35 years.|
|Healthy Design Certification||Certification fee 100% reimbursed by Fannie Mae.|
|Enhanced Resident Services Certification||Sponsor Certification: Cost of initial Sponsor certification 100% paid by Fannie Mae. Sponsor must obtain recertification every 5 years.
Property Level Certification: Initial certification cost of property-level compliance will be 100% reimbursed by Fannie Mae. Borrower must obtain yearly property certification.
|Interest Rate||Fixed- and variable-rate options available.|
|Maximum LTV||Varies by product type.|
|Minimum DSCR||Varies by product type.|
|Prepayment Availability||Flexible prepayment options available including yield maintenance and declining prepayment premium.|
|Loan Amount||No minimum or maximum.|
|Rate Lock||30- to 180-day commitments. Borrowers may lock the interest rate using Streamlined Rate Lock option. Confirmation of Healthy Design certification or sponsor-level and property-level certifications are required prior to rate lock.|
|Interest Accrual||30/360 and Actual/360.|
|Recourse||Non-recourse execution is available, with standard carve-outs for “bad acts” such as fraud and bankruptcy required.|
|Third-Party Reports||Standard third-party reports, including Appraisal, Phase I Environmental Assessment and a Property Condition Assessment, are required. Confirmation of Healthy Housing Rewards features and eligibility is required.|
|Assumption||Loans are typically assumable, subject to review and approval of the new borrower’s financial capacity and experience.|