Timber structures have gained interest for the construction of mid-rise buildings, but their seismic performance is still a matter under development. In this study, a numerical analysis of the seismic performance of light-frame timber buildings is developed through a highly detailed model using parallel computing tools. All of the lateral-load-resisting system components and connections are modeled. Combinations of lateral load capacity distributions in structures of one, three, and five stories are studied in order to assess the effects on the global performance of different triggered failure modes through nonlinear static and dynamic analyses. The results suggest that shear bracket connections and sheathing-to-framing connections control the buildings' responses, as well as the failure mode. For a ductile response, the lateral displacement must be dominated by the in-plane wall distortion (racking); therefore, the system must be provided with a story shear sliding stiffness and load capacity at least twice that of the walls. Furthermore, based on the pushover capacity curves, the performance limits are proposed by evaluating the stiffness degradation. Finally, the effect of the mobilized failure mode on the structural fragility is analyzed. Even though standard desktop PCs are used in this research, significant reductions in the computation effort are achieved.