I have looked at some of the Fannie Mae lending programs, especially for multi-family properties that aren't offered at any of the banks I have worked with. Is anyone here familiar with or have used DUS lenders. Was there any advantage or pros or cons you could discuss? Thanks.
@Pete T. ...
Being the commercial lending space, FNMA DUS program is offered by different lenders, and there are definitely pros/cons to getting these loans. I would say pros are likely the potential terms (up to 30 year, with 30 year amortizations) with low rates, the LTVs (can be up to 80%), and non-recourse availability.
Cons I would say are they can be costly, most lenders don't want to do any of them below $3MM or so, and there are certain reserve requirements (I guess that's most loan programs). They are usually not for 1st time multifamily investors, but sometimes considerations will be made depending on borrower and property strength.
Hope that helps.
thanks, that helps a lot!