Commercial · Calculator
Fannie Mae Multifamily
DUS loan sizing across all 5 program tiers with debt yield, cap rate, cash-on-cash, break-even occupancy, and balloon balance at maturity.
Property & Loan Terms
$175,000 per unit
Fannie Mae multifamily requires a minimum of 5 residential units.
Fannie DUS allows up to 30-year amortization. Loan is typically a balloon.
DSCR is still calculated on the fully amortizing payment per Form 4660.
Fannie requires 85% min physical occupancy for 90 days prior to closing. Small Loan tier (≤$9M) requires 90%.
Income
$1,500/unit/month
Laundry, parking, pet fees, RUBS, late fees, application fees, storage. No non-recurring items.
Fannie typically underwrites at 5% minimum. Higher for weaker markets — also accounts for collection loss + concessions.
Operating Expenses
Annual costs to run the property — before debt service and replacement reserves.
Property, liability, umbrella.
Typically 4–8% of Effective Gross Income.
Day-to-day upkeep, unit turnover costs.
Water, sewer, trash, common-area electric, gas.
Maintenance techs, leasing agents, on-site manager.
Advertising, legal, accounting, office supplies.
Landscaping, pest control, elevator, security.
Miscellaneous or non-recurring items.
Expense ratio: 40.7% of EGI
Fannie agency standard is $250–$300/unit/year based on the PCA. Older properties (pre-2000) often require $300–$500. NCF (the Fannie sizing input) = NOI minus reserves.
Total: $6,000/yr ($300/unit)
Lender fees, title, escrow, legal, appraisal, environmental, PCA. Fannie DUS app deposit ~$20.5K + $3K processing. Typical range 1.5–3% of loan.
Fannie Eligibility Check
Fannie RequirementLoan Sizing
Fannie RequirementIncome & Cash Flow
Fannie RequirementInvestment Metrics
Investor AnalysisThese are for your own investment analysis — they are not Fannie Mae underwriting requirements.
Below Program Minimum
The sized loan ($2,323,617) is below this program's minimum of $3,000,000. Try a smaller-loan tier (Small Loan, Green Rewards) or a higher-priced / higher-rent property.
Frequently asked
About this calculator.
What is a Fannie Mae DUS loan?
DUS = Delegated Underwriting and Servicing. The most common multifamily financing program in the country. Non-recourse (no personal guarantee), 5+ unit residential properties only, fixed and floating rates, 5–30-year terms, 30-year amortization. Underwritten by approved DUS lenders, sold to Fannie Mae after closing.
What's the difference between Standard DUS and Small Loan?
Standard DUS: $3M+ loan size, more rigorous underwriting, full property-condition assessment. Small Loan: $750K–$9M, streamlined process, no personal tax-return verification required. Same loan structure underneath — just different document load and processing tier.
How does the calculator size the loan?
Two caps run in parallel: (1) LTV cap = purchase price × max LTV for the program (typically 80%, 85% for Green Plus); (2) DSCR cap = NCF / minimum DSCR back-solved into max debt service. The lesser of the two becomes the max loan, and the result above tells you which one is binding.
Why is there a balloon balance?
DUS loans are typically 5–10-year terms with 30-year amortization. At maturity, a large balance remains because the loan didn't fully amortize over the term. You refinance, sell, or pay it off. This is standard for agency multifamily — a feature, not a bug — because the rate stays competitive over a shorter term.
What is "debt yield" and why does it matter?
Debt yield = NCF ÷ loan amount. It's the lender's "what would I yield if I had to take this property back" metric. Most agency lenders want 7%+ today, with 8%+ preferred. Higher debt yield = better deal in lender eyes, often unlocks better pricing.
Multifamily acquisition or refi
DUS quotes in 48 hours.
Send the rent roll, T-12, and offering memorandum — we\u2019ll come back with sized DUS quotes from multiple lenders. No upfront fees, no app pull required.
Prefer to talk first? Call (305) 703-9001