Characteristics

Closing

Subordinate LoanSubordinate LoanMultifamily residential real estate loan secured by a Lien against the Property having a lesser priority than the Lien securing another multifamily residential real estate loan on the same Property. closing must occur on, or within 12 months after, the Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. closing.

Must occur on the same date.

Loan Amount

Aggregate original principal amounts of the Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. and the Subordinate LoanSubordinate LoanMultifamily residential real estate loan secured by a Lien against the Property having a lesser priority than the Lien securing another multifamily residential real estate loan on the same Property. .

Aggregate original principal amounts of the 2 NotesNotesInstrument evidencing a Mortgage Loan obligation, including  Form 6010 series,  any other Fannie Mae-approved note, and  all applicable addenda, schedules, and exhibits.  . 

If any proceeds are based on an IRPIRPInterest Reduction Payment , Part III, Chapter 7: Multifamily Affordable Housing Properties applies.

Purpose

Either acquisition or refinancing.

Either acquisition or refinancing.

Underwriting

The 2 Mortgage LoansMortgage LoansMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. must:

• not have a combined LTVLTVRatio of the actual aggregate UPB of the Mortgage Loan, plus any Pre-Existing Mortgage Loans, plus any Hard Preferred Equity, plus any Mezzanine Financing, to the value of the Property, expressed as a percentage.  higher than the maximum standard for a Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. ;
• not have a combined DSCRDSCROn an annual basis or any specified period, the ratio of Net Cash Flow to the total of:  principal, interest, and required Mezzanine Financing or Hard Preferred Equity payments. lower than the minimum standard for a Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. ; and
• be cross-defaulted.

Must not have a combined:

• LTVLTVRatio of the actual aggregate UPB of the Mortgage Loan, plus any Pre-Existing Mortgage Loans, plus any Hard Preferred Equity, plus any Mezzanine Financing, to the value of the Property, expressed as a percentage.  higher than the maximum standard for a Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. ; and
• DSCRDSCROn an annual basis or any specified period, the ratio of Net Cash Flow to the total of:  principal, interest, and required Mezzanine Financing or Hard Preferred Equity payments. lower than the minimum standard for a Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. .

Interest Rate Structures

Either a fixed or variable interest rate.

If you use a combination of fixed and variable interest rates, you must comply with Part III, Chapter 14: Supplemental Mortgage Loans.

Either a fixed or variable interest rate. 

If you use a combination of fixed and variable interest rates, each NoteNoteInstrument evidencing a Mortgage Loan obligation, including  Form 6010 series,  any other Fannie Mae-approved note, and  all applicable addenda, schedules, and exhibits.  must have its own MBSMBSMortgage-Backed Security .

Documentation

2 separate sets of Loan DocumentsLoan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. :  1 for the Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. and 1 for the Subordinate LoanSubordinate LoanMultifamily residential real estate loan secured by a Lien against the Property having a lesser priority than the Lien securing another multifamily residential real estate loan on the same Property. .

1 set of Loan DocumentsLoan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. , but evidenced by 2 separate NotesNotesInstrument evidencing a Mortgage Loan obligation, including  Form 6010 series,  any other Fannie Mae-approved note, and  all applicable addenda, schedules, and exhibits.  . 

The NotesNotesInstrument evidencing a Mortgage Loan obligation, including  Form 6010 series,  any other Fannie Mae-approved note, and  all applicable addenda, schedules, and exhibits.  must be pari passu.

Securitization

2 separate MBSMBSMortgage-Backed Security :  1 for the Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. and 1 for the Subordinate LoanSubordinate LoanMultifamily residential real estate loan secured by a Lien against the Property having a lesser priority than the Lien securing another multifamily residential real estate loan on the same Property. .

Additional DisclosureAdditional DisclosureInformation you provide that is published as an addendum to the disclosure documents when an MBS is issued and describes special Security, Mortgage Loan, or Property characteristics or terms that differ from those described in the standard Multifamily MBS Prospectus. per Form 4098 will be required if a partial release of collateral is permitted for either Mortgage LoanMortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. .

1 MBSMBSMortgage-Backed Security unless multiple Interest Rate Structures.

Additional DisclosureAdditional DisclosureInformation you provide that is published as an addendum to the disclosure documents when an MBS is issued and describes special Security, Mortgage Loan, or Property characteristics or terms that differ from those described in the standard Multifamily MBS Prospectus. per Form 4098 must be required if a partial release of collateral is permitted for either NoteNoteInstrument evidencing a Mortgage Loan obligation, including  Form 6010 series,  any other Fannie Mae-approved note, and  all applicable addenda, schedules, and exhibits.  .

Hazard Insurance

Coverage based on the combined UPBUPBUnpaid Principal Balance of the Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. and the Subordinate LoanSubordinate LoanMultifamily residential real estate loan secured by a Lien against the Property having a lesser priority than the Lien securing another multifamily residential real estate loan on the same Property. .

Consistent with Senior Mortgage LoansSenior Mortgage LoansSenior loan purchased by Fannie Mae. .

Title Insurance

Separate title insurance policies for the Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. and Subordinate LoanSubordinate LoanMultifamily residential real estate loan secured by a Lien against the Property having a lesser priority than the Lien securing another multifamily residential real estate loan on the same Property. , in the respective amounts of each loan.

Consistent with Senior Mortgage LoansSenior Mortgage LoansSenior loan purchased by Fannie Mae. .

UCC Financing Statements

Filings for both the Senior Mortgage LoanSenior Mortgage LoanSenior loan purchased by Fannie Mae. and Subordinate LoanSubordinate LoanMultifamily residential real estate loan secured by a Lien against the Property having a lesser priority than the Lien securing another multifamily residential real estate loan on the same Property. .

Consistent with Senior Mortgage LoansSenior Mortgage LoansSenior loan purchased by Fannie Mae. .