In one sentence
Freddie Mac's Small Balance Loan program for smaller multifamily properties, offering agency execution on loans below the conventional threshold.
The longer version
The SBL program brings agency terms to smaller apartment loans, typically from about one million to a defined ceiling, that would otherwise fall below conventional Freddie execution. It is a high-volume, standardized product.
Like other agency products, SBL runs on published forms and standards, which makes it a strong candidate for templated closings that start most of the way built.
Common questions
- What is Freddie Mac SBL?
- Freddie Mac's Small Balance Loan program for smaller multifamily properties, offering agency financing through approved lenders.
- Who uses the Freddie Mac SBL program?
- Owners of smaller apartment properties who want agency terms, such as fixed and hybrid rates and non-recourse structure, at loan sizes below conventional agency programs.
- How is SBL different from conventional Freddie Mac loans?
- It is streamlined for smaller loans, with simpler documentation and underwriting suited to properties that are too small for the main conventional execution.
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