Freddie Mac Single-Sponsor Execution
A single-sponsor execution is a securitization where one institution contributes the whole pool. Freddie runs three of them today, and which applies depends entirely on what your collateral is.
What a Single-Sponsor Execution Means
A single-sponsor execution is a securitization in which one institution contributes the entire loan pool. It sits opposite a multi-sponsor deal, where several smaller lenders pool their loans together to reach a workable deal size. The distinction decides who controls the collateral, who retains the subordinate piece, and how quickly the transaction can be brought to market.
Freddie Mac does not publish a term sheet titled Single-Sponsor Execution. Checked against mf.freddiemac.com/financing/structured-facility and /financing/tah on July 31, 2026, the executions that carry single-sponsor pools today are the Q-Deal program, Tax-Exempt Securitization, and Structured Loans. This page covers all three, because which one applies depends entirely on what your collateral is.
Who Is This Page For?
Not the individual property owner. These are balance sheet tools for community banks, housing finance agencies, CDFIs, and large multifamily sponsors. If you are financing one apartment building, start at Freddie Mac multifamily loans instead.
Q-Deals: Taxable Loans Off a Balance Sheet
Q-Deals convert illiquid third-party multifamily loans into Freddie Mac guaranteed Q Series Certificates. The sponsor can sell those certificates or retain them. Freddie guarantees timely payment of interest and ultimate payment of principal on the guaranteed senior certificates.
| Eligible sponsors | Small financial institutions, community banks with $10 billion or less in assets, and other well capitalized institutions on a case-by-case basis |
|---|---|
| Optimal pool size | At least $200 million in aggregate unpaid principal balance |
| Multi-sponsor option | Individual sponsor contributions can be smaller in a multi-sponsor Q-Deal |
| Eligible collateral | Taxable multifamily mortgage loans, including conventional and small balance loans, loans on properties with 9% LIHTC or land use restrictive agreements, and rehab loans on properties serving renters at 60% or 80% of area median income |
| Structures | Customizable, including a senior and subordinate A/B structure where the sponsor retains or sells the Class B certificate |
Terms confirmed against the Q-Deals: Third-Party Loan Securitizations term sheet, mf.freddiemac.com/docs/product/q_deals_third_party_loan_securitizations.pdf, dated April 2026 and fetched July 31, 2026.
Why Would a Bank Do This?
Four reasons Freddie names directly: balance sheet management, monetizing a portfolio, increasing liquidity, and optimizing reserve requirements. A fifth is the one bankers care about most. The sponsor keeps the customer relationship. You are selling the loan, not the borrower.
Tax-Exempt Securitization
Same idea, different collateral. This execution takes tax-exempt bonds or tax-exempt loans backing multifamily housing and converts them into M Series or ML Series Certificates. M-deals are collateralized by tax-exempt bonds; ML-deals by tax-exempt loans.
The optimal pool size is at least $150 million in aggregate unpaid principal balance, and eligible sponsors include community banks, investment vehicles, Community Development Financial Institutions, housing finance agencies, and aggregators of tax-exempt collateral. The senior and subordinate structure works the same way, with the Class B certificate retained by the sponsor or sold to an approved third-party investor.
From the Tax-Exempt Securitization term sheet, mf.freddiemac.com/docs/product/tax_exempt_securitization.pdf, dated April 2026 and fetched July 31, 2026. Freddie notes the overview reflects average deal size, credit, and structure, and that all terms may change.
How Does This Interact With a Tax-Exempt Loan?
Directly. Freddie's Optigo Tax-Exempt Loan is securitizable through M-Deals, ML-Deals, and Multi PCs. If you are the borrower, the securitization is a back-end mechanic you never touch. If you are the housing finance agency holding a portfolio of those loans, it is the exit. Our tax-exempt loan page covers the borrower side.
Structured Loans for a Single Large Borrower
When the single sponsor is a property owner rather than a lender, the relevant execution is a Structured Loan. Freddie points these at pools generally at or above $400 million in unpaid principal balance, though smaller balances are considered, for one property or many.
The loan component structure is what makes it useful. On a crossed pool you can mix fixed and floating debt, ladder maturities, carry different prepayment structures, and designate an immediate-sale pool with open prepayment, all without assigning any component to a named property at closing. Terms run up to 30 years fixed, up to 10 years floating, or a blend. Fixed prices off Treasuries, floating off 30-day average SOFR.
Most Freddie product types qualify, including conventional, targeted affordable, seniors housing, student housing, and manufactured housing communities. Loans are non-recourse except for standard carve-outs, and assumptions are available on uncrossed pools.
From the Structured Loans term sheet, mf.freddiemac.com/docs/product/structured_loans.pdf, dated 08/21 and fetched July 31, 2026.
Which Execution Should You Ask About?
Match it to what you hold. Taxable multifamily loans on a bank balance sheet go to a Q-Deal. Tax-exempt bonds or loans go to a tax-exempt securitization. A large owned portfolio seeking flexible permanent debt goes to a Structured Loan, or to the Transitional Line of Credit if the need is acquisition capacity rather than permanent financing.
Tell us what is in the pool and what you are trying to accomplish with it. We will point you at the right Freddie desk.
Start here
Get a quote on your deal.
Tell us about the property. We respond with sizing, likely executions, and indicative terms. No cost, no obligation.
Prefer to talk? (561) 556-5777