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Arbor Recognized for Excellence from Agency Partners

Arbor’s platform of diverse multifamily financing solutions, combined with our strong industry relationships and our commitment to accuracy and close collaboration with our government-sponsored enterprise (GSE) partners, drives us to the top of the multifamily lender rankings year after year. Through decades-long relationships with Fannie Mae, Freddie Mac, and FHA, our best-in-class team delivered results for our borrowers in 2024, propelling Arbor to the top of the partner rankings.

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Renters See Apartments as ‘Forever Homes’

Today’s renters are in it for the long haul. The Federal Reserve Bank of New York’s recently released 2025 SCE Housing Survey shows that the average renter thinks there is a two-in-three chance they will rent for the foreseeable future. With home prices and interest rates unfavorable to would-be homebuyers, we explore renters’ perceptions and how they could impact future rental housing demand.

Current Reports

Top Markets for Multifamily Investment Report Spring 2025

Arbor’s Top Markets for Multifamily Investment Report Spring 2025, developed in partnership with Chandan Economics, is your roadmap to the best locations to deploy capital. Based on the findings of our exclusive Multifamily Opportunity Matrix, this in-depth analysis assesses economic strength and market capabilities to navigate evolving conditions of the top 50 largest U.S. metros.

Research

Arbor’s data-driven articles and research reports empower multifamily and single-family rental investors and developers to make more profitable financial decisions.

Articles

Renters Account for Majority of Household Growth

The number of rental households climbed nearly 2% last year, as 848,000 more households became renters, an analysis of the U.S. Census Bureau’s Housing Vacancies and Homeownership Survey shows (Chart 1). Rental households also hit a new high of 45.3 million, accounting for more than half of all U.S. household growth in 2024. Weakening affordability, evolving lifestyle preferences, and a limited supply of quality housing all contributed to surging multifamily and single-family rental (SFR) demand.

Articles

Solar Panel Usage Accelerates in Rental Properties

Solar panel installations, which skyrocketed in the U.S. over the last half-century, are projected to double to 10 million in just six years. While installations soared in all types of residences, owner-occupied properties significantly outpaced rentals. However, the evolving economics of solar power may be approaching a tipping point for single-family rental (SFR) operators looking for a differentiator.

General: 800.ARBOR.10

Home | Fannie Mae | M.TEB
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FANNIE MAE DUS®

MBS as Tax-Exempt Bond Collateral (M.TEB) – Fixed Rate

Arbor’s MBS as Tax-Exempt Bond Collateral (M.TEB) – Fixed Rate issues MBS that can be used as collateral for either
(i) existing fixed-rate bond refundings, or (ii) new fixed-rate bond issues in conjunction with 4% Low-Income Housing Tax
Credits (LIHTC).

Benefits
  • Faster closings with our unique delegated model.
  • Declining prepayment options or yield maintenance.
  • Interest-only is available.
  • Guaranteed direct pass-through of principal and interest is more attractive to bond buyers.
Eligibility
  • Multifamily Affordable Housing properties.
  • Loans underwritten to Fannie Mae Guide Requirements for tax-exempt bonds.
  • Refundings or new issues with in-place rehab.
  • Immediate delivery or standby forward commitment.
Loan Term 10-30 years.
Amortization Up to 35 years.
Maximum LTV
  • 90% for 4% LIHTC properties with at least 90% of the units meeting affordability requirements.
  • 85% for 4% LIHTC properties with fewer than 90% of the units meeting affordability requirements.
  • 80% for refundings.
Minimum DSCR
  • 1.15x for 4% LIHTC properties with at least 90% of the units meeting affordability requirements
  • 1.20x for 4% LIHTC properties with fewer than 90% of the units meeting affordability requirements for refundings.
Issuer and Trustee Fees Loan sizing must include underwriting of the Issuer and Trustee Fees; however, Issuer and Trustee Fees will be paid directly by borrower and are not enhanced or passed through by Fannie Mae.
Mandatory or Optional Redemption Feature No separate mandatory or optional redemptions outside of the MBS structure.
Prepayment Availability Flexible prepayment options available, including yield maintenance and declining prepayment premium.
Bond Payments Principal and interest payments will be based on a monthly schedule in accordance with the terms of the MBS and will flow through the bond trustee for payment to the bondholder. Payments of principal and interest under the MBS are paid in arrears on the 25th of the month based on the prior month’s accrual; payment to the bondholder occurs on the following business day.
Tax-Exempt to Taxable Conversion Feature If there is a single bondholder, and subject to Issuer consent, the bondholder may pursue an option to redeem tax-exempt bonds and hold the MBS directly.
For 4% LIHTC transactions, this redemption cannot occur prior to the Placed-in-
Service date.
Loan Documents Documented on Fannie Mae loan documents; Issuer must utilize the Fannie Mae form Indenture.
Third-Party Subordinate Financing Hard subordinate debt (which requires scheduled repayment of principal) is permitted only if provided by a public, quasi-public, or not-for-profit lender and combined debt service coverage cannot fall below 1.05x. Soft subordinate debt is permitted subject to requirements which include capping payments at 75% of available property cash flow after payment of senior liens and property operating expenses.
Recourse Non-recourse execution is with standard carve-outs for “bad acts” such as fraud and bankruptcy.
Escrows Replacement reserve, tax, and insurance escrows are typically required.
Third-Party Reports Standard third-party reports required, including Appraisal, Phase I Environmental Site Assessment, and Property Condition Assessment.

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ARBOR.COM | 800.ARBOR.10
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