Our mission is to simplify and streamline the HUD loan process for multifamily owner/operators and developers alike.
It seems like common industry knowledge that HUD is the source of the apartment industry's most affordable, longest term, best leveraged, fully amortizing, non-recourse, assumable financing. Unfortunately, some people believe that the process is difficult, even disastrous. On top of that, they believe that the red tape is unsurmountable and that loans can take forever to close. Maybe they've heard from someone (that's heard from someone) that HUD loans aren’t worth the trouble. Because of this, many multifamily investors never even consider their best source of financing.
In contrast, the reality is this: besides being grossly misunderstood, HUD-insured loans are one of the greatest and most underused tools in the industry. We exist solely to serve our industry leaders in procuring HUD-insured multifamily financing. To do this, we provide clear and realistic expectations, a well-communicated timeline, and easy-to-understand requirements. This allows us to successfully work with multifamily investors who have never considered a HUD loan. We also work with those who have had an unpleasant experience working with a less-than-fit financial intermediary or lender in the past. Of course or primary clients are those that have financed projects with HUD debt before, understand the process and engage our team to run lead on all their FHA multifamily loan transactions.
We partner with industry leaders and investors that fund billions of dollars in loan volume per year. As a result, we know the strengths and weaknesses, the niches, and each teams’ ability to execute. Our underwriting is always a deep-dive and hiccups are thoroughly avoided through clear communication and rigorous work on our end. In brief, we are experts that specialize in arranging FHA-insured loans for market-rate, affordable and senior multifamily properties and providing certainty of execution to every client.
Speak With A HUD/FHA Insured Multifamily & Healthcare Finance Specialist.
Call (877) 585-8645
The HUD 223(f) is intended for the purchase or refinance of apartment properties of any class, including cooperatives, affordable housing, independent living or subsidized multifamily properties. 223(f) loans are fixed and fully amortizing for up to 35 years (both the term and the amortization are 35 years) with available leverage of up to 85% LTV (and up to 87% on subsidized properties). All FHA multifamily insured debt, including 223(f) loans, are non-recourse with standard carveouts.
The HUD 221(d)(4) is probably the best known HUD product. It’s function is for the ground up construction and substantial rehabilitation of multifamily properties. 221(d)(4) loans offer leverage up to 85% of cost for market-rate developments, 87% for affordable properties, and 90% on projects with 90% or greater rental assistance. They are fixed and fully amortizing for 40 years, after an up to 3-year, fixed-rate, interest-only period during construction. HUD 221(d)(4) insured debt is non-recourse with standard carveouts.