Purchase or Refinance

FHA 223(f)
We are obsessed with quality and perpetual improvement. As we get to know you, our approach will be optimized and tailored toward your transactional objectives.
  • Loan Term:35 years
  • Interest Rate:Fixed rate, fully amortizing
  • Non-recourse:Non-recourse
  • Assumable:Fully assumable
  • Prepayment:10% year one, then declining 1% per year; and customizable
  • Cash Out:Cash out is permissible
  • Commercial Space:No commercial space greater than 25% of net rentable area and 20% of effective gross income of the property
  • Borrower:A single asset SPE
  • Escrows:Escrows required for taxes, insurance, MIP and capital needs replacement reserves (minimum $250 per unit/annually)
  • Third Party Reports:Appraisal, Environmental Report, and Capital Needs Assessment
DSCR/LTV Requirements:

For Loan Amounts up to $75 Million:

  • Property Type
  • Maximum LTV
  • Maximum LTV (for a Cash Out)
  • Minimum DSCR
  • Subsidized
  • 90%
  • 80%
  • 1.1
  • Affordable
  • 87%
  • 80%
  • 1.15
  • Market Rate
  • 85%
  • 80%
  • 1.176

For Loan Amounts $75 Million and above:

  • Property Type
  • Maximum LTV
  • Maximum LTV (for a Cash Out)
  • Minimum DSCR
  • Subsidized 1
  • 80%
  • 70%
  • 1.25
  • Affordable 2
  • 80%
  • 70%
  • 1.25
  • Market Rate
  • 75%
  • 70%
  • 1.3

Mortgage Insurance Premium:

  • Standard MIP is 1% of the loan amount due to HUD at closing; then 0.60% annual thereafter.
  • Affordable Properties: 0.35% at closing; then 0.35% annually thereafter.
  • Broadly Affordable or Green: 0.25% at Closing; 0.25% annually thereafter.
  1. 90% or more of the units are covered by a project based Section 8 contract for at least 15 years.
  2. 15 or more year regulatory agreement after Final Endorsement with a minimum AMI set aside.
Download
Email