HUD Eliminates 3 Year Rule

Previously, multifamily developers had to wait three years after the Certificate of Occupancy was issued before being eligible to refinance with HUD with the 35 year amortization loan program.

This week, HUD announced the elimination of the three years of waiting. If you have a bank financed construction loan on your multifamily and are needing to look at permanent financing, you need to call Howell Investment Finance now. 

All recently constructed multifamily projects or substantially rehabilitated properties could be eligible for the great HUD financing terms:

• 85% LTV, or 80% LTV with cash out
• Low fixed-rates
• 35 yr amortization
• 35 yr Term
• Cash out
• Assumable
• 1.17 dscr market rate or 1.11 dscr affordable

The interest rates keep dropping between the Fed cutting interest rates 0.5% yesterday plus the 10 year T-bills being at their lowest level means its time to refinance and lock in the lowest rates for the long term.