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Healthy Housing Rewards™ Healthy Design

We offer 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.

 

Benefits

  • Lower interest rate
  • Reimbursement for Healthy Design Certification (up to $6,500)
  • Flexible underwriting to specific affordable developments
  • Flexible loan terms, and fixed- or variable-rate financing options
  • Certainty and speed of execution

Eligibility

  • Affordable Multifamily Housing Properties with at least 60% of the units affordable to households earning no more than 60% of Area Median Income.
  • Must obtain Healthy Design certification from an approved Fannie Mae provider.
  • One-time benefit per Borrower per Property. Cannot be combined with Healthy Housing Rewards Enhanced

Pricing

Up to 15 basis points interest rate discount.

Term

5-30 years.

Amortization

Up to 35 years.

Healthy Design Certification

Certification fee cost (up to $6,500) reimbursed by Fannie Mae.

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 use the Streamlined Rate Lock option. Confirmation of Healthy Design certification is required prior to Rate Lock.

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

Mortgage Loans are typically assumable, subject to review and approval of the new borrower’s financial capacity and experience.