| Property Types: |
FHA-insured Multifamily Housing and Healthcare Loans |
| Eligible Borrowers: |
For profit and non-profit entities |
| Loan Amount: |
Entity can borrow up to 100% of the original principle balance |
| Region: |
Nationwide |
| Term & Amortization: |
The remaining term of the mortgage plus 12 years (subject to HUD approval) not to exceed the term of the original FHA-insured mortgage |
| General Loan Terms: |
The maximum loan is the lesser of:
- The original FHA-insured mortgage amount
- The outstanding mortgage plus all closing costs and repairs (not to exceed the original loan amount)
- 1.11x DSCR (1.05x for non profit entities)
|
| Interest Rate: |
Fixed rate subject to market conditions at the time of rate lock |
| Recourse: |
None except standard carve outs |
| Assumable: |
Yes, subject to HUD approval. |
| Prepayment: |
Negotiable. Typically loans are prohibited from prepayment for the first 2 years then an 8% penalty declining 1% each year thereafter until 0%. |
| Mortgage Insurance Premium: |
0.45% for Multifamily and 0.50% for Healthcare |
| Other: |
- Typically no third party reports required
- Cash out refinancing is not permitted
- PCNA report will be required every 10 years
|
