Loan Programs > Commercial Real Estate > Freddie Mac SBL

Freddie Mac Small balance loans (SBL)

Get the attention and follow-through you deserve for your multifamily deal, from a top agency lender who specializes in small balance. 


With 10 years of small balance multifamily lending, Ready Capital provides a one-stop solution for $1 million to $7.5 million small balance loans (or larger portfolios comprised of small balance loans).

Your one-stop solution for small balance multifamily financing

  • One of the top nationwide Freddie Mac SBL Optigo® lenders.
  • Complementary small balance multifamily Bridge program, featuring no exit fee when refinanced under Ready Capital’s SBL program.
  • Dedicated staff with a keen focus on small balance multifamily.
  • Fast and reliable review of loan opportunities by experienced front-end “speed underwriting” team (same-day LOI execution in some instances).
  • Loans consistently closed per the original terms and by a proven back-end underwriting team that has deep program knowledge and relationships.
  • Simplicity, transparency, and reliability with industry-leading sizing and pricing tools.
  • Submissions by brokers are welcomed with attractive economic incentives available.

Freddie Mac SBL for Multifamily Properties

Ready Capital is an approved, top Freddie Mac Optigo® lender. If agency lending is the best match for your multifamily acquisition, refinance, or recapitalization, we are your single source. Our Small Balance Loan (SBL) program operates nationwide, with fast answers, superior process transparency, and results you can count on.

Loan Terms

Loan Purpose Acquisition, refinance, recapitalization
Loan Amount $1 million to $7.5 million
Loan Term 5, 7, 10 years
5/7/10 Hybrids at loan term of 10/10/20
Rate Type Fixed or Fixed-to-Floating (Hybrid)
Fixed Rate held at LOI execution
Closing Timeline 45 to 60 business days
Fees None (par to lender)
In-Place DSCR/Debt Yield 1.20x Top Market
1.25x Standard Market
1.30x Small Market
1.40x Very Small Market
Amortization 30 years; partial & full-term interest only (IO) available
Future Advances n/a
Earnouts n/a
Escrow RE Taxes if LTV > 65%; Reserves if >50 units
Recourse Non-recourse with standard carve-outs
Prepayment Multiple stepdown options; yield maintenance
Extensions n/a
Legal Fees Generally $7,500 or less per loan

Borrower peace of mind

Concerned about interest rate volatility and hefty deposits and costs to early rate-lock? If so, then Freddie Mac SBL may be the answer. For no additional cost on the first day of the process (at time of executed LOI), the Freddie Mac SBL rate is automatically locked and held until the closing date.

Your one-stop shop for small balance multifamily Bridge and Freddie Mac SBL

Small balance Bridge acquisition loan & Freddie Mac SBL refinance loan
19-unit apartment complex
Hollywood, FL

  • $1.8MM / 71% LTC Bridge acquisition loan
  • Renovation of a coastal 1960s vintage complex
  • $2.264MM cash-out Freddie Mac refinance loan 1.9 years later upon business plan execution

Small balance Bridge acquisition loan & Freddie Mac SBL refinance loan
25-unit apartment building
Portland, OR

  • $2.6MM / 66% LTC bridge acquisition loan
  • Light reposition of well-located, under-managed asset
  • 35-day quick close Bridge loan to take advantage of opportunistic acquisition
  • $2.68MM cash-out Freddie Mac SBL refinance loan upon minimal seasoning

Small balance Bridge acquisition loan & Freddie Mac SBL refinance loan
58-unit apartment complex
Albuquerque, NM

  • $4.05MM / 75% LTC Bridge acquisition loan
  • Significant reposition of well-located, mid-century complex
  • $4.31MM cash-out Freddie Mac SBL refinance loan 1.3 years later, upon business plan execution

Nationwide lending at its best

Our team of professionals have deep industry expertise, offering brokers and sponsors commercial real estate know-how and confidence through all markets and credit cycles. ​

Get a Freddie Mac SBL quote

We'll need just a few details about you and your property to get you an accurate loan estimate.