Tap to get financing
HUD Loans
HUD Loans
Loan Programs
FHA & HUD LoansHUD 221(d)(4)HUD 223(f)HUD 223(a)(7)HUD 241(a)HUD 232/223(f)
Calculators
Break-Even Ratio CalculatorCap Rate CalculatorCash-on-Cash Return CalculatorCommercial Mortgage CalculatorDebt Yield CalculatorDSCR CalculatorLoan Repayment CalculatorLTV CalculatorNOI Calculator
Resources
BlogLoan DocsHUD REAC InspectionsHUD Section 202 Supportive HousingHAP Contracts2021-2022 HUD Multifamily Basic Statutory LimitsFrequently Asked Questions
About
CompanyLeadershipTeamWe're Hiring
Contact Us
Get financing
Was This Article Helpful?
Newly Published
Oct 5 at HUD Loans
HUD’s New Surplus Cash Distribution Changes
Oct 3 at HUD Loans
What Are Replacement Reserves?
Sep 12 at HUD Loans
Is HUD Financing Available for Assisted Living Facilities?
Explore the Janover Network
Feb 2 at Multifamily Loans
Top 10 Fannie Mae Multifamily Lenders of 2023
Jan 31 at Commercial Real Estate Loans
Top 10 Commercial Property Management Companies of 2023
Jan 30 at Commercial Real Estate Loans
Top 5 Markets for Medical Office Investing in 2023
HUD Multifamily Loans Blog
Last updated on Dec 8, 2022
2 min read
by Evelyn Jozsa

Biden’s Affordable Housing Plan Targets Manufactured Homes, ADUs

New financing programs aim to support the production of accessory dwelling units, two- to four-unit properties, and manufactured housing.

Get Quotes ← Apply for a loan in minutes and get multiple quotes today

In this article:
  1. Biden’s Affordable Housing Strategy
  2. Smaller Buildings Equal Efficient Solutions
  3. Get Financing

Image by Analogicus from Pixabay.

Biden’s Affordable Housing Strategy

America’s affordable housing shortage has long reached a crisis point, putting pressure on the country’s most vulnerable citizens. There is a shortfall of nearly 7 million rental homes available to extremely low-income households, those earning below 30% of the area median income, according to the National Low Income Housing Coalition.

The fundamental step to solving the country’s affordability crisis is to build more housing. However, several roadblocks — including general NIMBYism, outdated regulations, a lack of adequate financing options, and soaring construction and materials costs — have made widespread construction of new affordable housing units a significant challenge. 

The Biden Administration’s new housing plan aims to close the housing gap within the next five years by tackling some of these issues. Methods outlined range from longer-term legislative to more immediate administrative actions to create and preserve affordable housing. Plans include the encouragement of zoning and land-use reforms, new and expanded financing programs, and addressing supply chain issues.  

Smaller Buildings Equal Efficient Solutions

A key initiative of the administration’s five-year action plan is to streamline the construction of two- to four-unit properties, smaller multifamily buildings, accessory dwelling units — such as garage or basement apartments and backyard homes — and manufactured housing. The production of these types of properties has the potential to significantly expand the housing supply in constrained markets. 

Although the federal government provides several financing options for the development of affordable homes, there’s a significant gap in financing products when it comes to the construction and rehabilitation of smaller-scale assets. 

To close this gap, the Federal Housing Administration and Federal Housing Finance Agency will work with lenders to pilot and scale renovation and construction financing for accessory dwelling units. Additionally, Freddie® Mac® is assessing the possibility of purchasing chattel loans. Most manufactured housing homeowners rely on these, not traditional mortgages, to acquire their homes. However, due to higher interest rates and shorter loan terms, chattel loans typically cost more than traditional mortgages.

Finally, to make it easier to finance the construction and improvement of manufactured housing units, HUD is working to increase the usability of FHA’s Title I financing program for manufactured housing.

In this article:
  1. Biden’s Affordable Housing Strategy
  2. Smaller Buildings Equal Efficient Solutions
  3. Get Financing

Getting commercial property financing should be easy.⁠ Now it is.

Click below for a free, no obligation quote and to learn more about your loan options.

Get financing →
Janover logo

HUD Loans is a Janover company. Please visit some of our family of sites at: Multifamily Loans, Multifamily Today, Commercial Real Estate Loans, SBA7a Loans, CMBS Loans, Apartment Loans, HUD Loans, HUD 221d4 Loan, HUD 232 Loan, HUD 223f Loan, HUD 223a7 Loan, SBA Express Loans, SBA 504 Loans, and OpportunityZones Help.

Janover Inc.

6401 Congress Ave
Ste 250
Boca Raton FL 33487

hello@hud.loans

Site Information

Privacy Policy
Terms of Use

This website is owned by a private company that offers business advice, information and other services related to multifamily, commercial real estate, and business financing. We have no affiliation with any government agency and are not a lender. We are a technology company that uses software and experience to bring lenders and borrowers together. By using this website, you agree to our use of cookies, our Terms of Use and our Privacy Policy. We use cookies to provide you with a great experience and to help our website run effectively.

Freddie Mac® and Optigo® are registered trademarks of Freddie Mac. Fannie Mae® is a registered trademark of Fannie Mae. We are not affiliated with the Department of Housing and Urban Development (HUD), Federal Housing Administration (FHA), Freddie Mac or Fannie Mae.

Copyright © 2022 Janover Inc. All rights reserved.