August 03, 2020
In anticipation of our upcoming SOFR loan offerings, we have published for your information Multifamily loan documents to be used on SOFR-indexed floating-rate loans and Small Balance Loan (SBL) hybrid loans.
Highlights of the loan documents include:
Please also note the key dates below relating to our transition from LIBOR to SOFR, including new timing requirements for underwriting and final delivery package submissions for LIBOR-indexed loans:
|Date||Transition from LIBOR to SOFR|
|September 1, 2020||Freddie Mac will no longer issue quotes for LIBOR-indexed loans; all new floating-rate quotes will be for SOFR-indexed loans.
For SBL, Optigo® lenders will no longer issue applications for SBL hybrid loans with a floating-rate period indexed to LIBOR; all new hybrid loan applications issued will be SOFR-based.
September 30, 2020
|Last day for LIBOR-indexed floating-rate loans to go under loan application|
|November 9, 2020*||Last day for submission of underwriting packages for LIBOR-indexed floating-rate loans and SBL hybrid loans to Freddie Mac|
|December 11, 2020*||Last day for submission of final delivery packages for LIBOR-indexed floating-rate loans and SBL hybrid loans to Freddie Mac|
|December 31, 2020||Last day for Freddie Mac to purchase LIBOR-indexed floating-rate loans and SBL hybrid loans, regardless of the loan application date or the date of the note.|
*Note: these dates are outside dates; a specific LIBOR-indexed loan may be subject to earlier deadlines.
If you have questions, or feedback, please send us an email to MFLIBOR@freddiemac.com.
We appreciate your partnership and look forward to a smooth transition.
Have a comment or question? Email us to let us know what's on your mind.