Loan Programs 223(a)(7)

223(a)(7) STREAMLINE REFINANCE OF PROPERTIES WITH AN EXISTING FHA-INSURED MORTGAGE
APARTMENTS
NURSING HOMES
ASSISTED LIVING FACILITIES

  • Up to 40 Years Fixed Rate/Fully Amortized
  • Fully Assumable
  • No Personal Liability

Maximum Loan is the Lesser of:

The original principal amount of the existing insured mortgage

The unpaid principal balance of the existing mortgage plus:

  • Loan closing charges, including the application fee, MI, financing fee, prepayment penalties associated with the mortgage note, title        and recording, legal fees, and required deposits to the reserve for replacement.
  • Outstanding debt incured in connection with capital improvements made to the property that are acceptable to HUD.
  • All costs associated with the testin, abatement or removal of lead-based paint.
  • the costs, as determined by HUD, of capital improvements, upgrading, repairs oradditions required to be made to the property.

The mortgage that can be amoritized by 90% of the NOI for profit-motivated mortgagors, or 95% for non-profit mortgagors.

TYPICAL PROCESSING STEPS

Firm Application

Exhibits include but not limited to:

  • Certified Rent/BedRoll
  • Audited Financial Statements
  • List of Proposed Repairs and Costs, if any
  • Project Capital Needs Assessment determining repairs and Reserve for Replacement amounts