The HUD 223f program provides non-recourse assumable financing for the purchase or refinance of existing multifamily, affordable or age-restricted properties.
HUD defines Affordable Housing as:

• projects that have a recorded regulatory agreement in effect for at least 15 years after final endorsement; or
• projects that meet at least the minimum LIHTC restrictions of 20% of units at 50% of the Area Median Income (AMI), or 40% with economic rents (portion paid by tenants) on those units no greater than LIHTC rents; or
• Mixed income projects if the minimum low income unit rent and occupancy restrictions and regulatory agreement meet above criteria.

Market rate properties qualify for 83.3% LTV, 87% for Affordable, and 90% for projects that have 90% or greater of their units with rental assistance.
Typically, the 223f program takes about 4 months to complete, and provides the best terms available for construction and rehabilitation projects.

Often times, we need to meld subordinated loans or grants with the programs to fill critical equity gaps. Our direct HUD programs can be used to fund capital improvements, replacement reserves and to add supportive services. In addition we have extensive experience repositioning 236 properties that may need to be decoupled and/or maturing through either the Markup to Market or Markup to Budget programs.

Click Here to Download Acquisition and Refinance Guidelines