Not Applicable.

Uses and Use Restrictions

Section 223(f) insures lenders against loss on mortgage loans.

These loans may be used to purchase or refinance existing multifamily housing projects.

The property must contain at least 5 residential units with complete kitchens and baths and have been completed or substantially rehabilitated for at least 3 years prior to the date of the application for mortgage insurance.

The program allows for non-critical repairs that must be completed within 12 months of loan closing.

Projects requiring substantial rehabilitation are not acceptable under this section and may not involve the replacement of more than one major system.

The remaining economic life of the project must be long enough to permit a ten-year mortgage.

The mortgage term cannot exceed 35 years or 75 percent of the estimated life of the physical improvements, whichever is less.

Davis Bacon prevailing wage requirements do not apply to this program.

The applicable percentage of the estimated value of the property after completion of repairs and improvements.

90% - for Section 202/202/8 Direct Loans, 87% - for projects with 90% or greater rental assistance, 85% for projects that meet the definition of Affordable Housing, and 83.3% for market rate projects.

Eligibility Requirements

Applicant Eligibility

Mortgagors may be either profit and non-profit.

Beneficiary Eligibility

All persons are eligible to occupy such projects subject to normal occupancy restrictions.

Credentials/Documentation

Documentation regarding the characteristics of the property and the qualifications of the purchaser or existing mortgagor in refinance projects are assembled by the mortgagee and submitted with the application. Management plan must be submitted at time of application for commitment. This program is excluded from coverage under 2 CFR 200, Subpart E - Cost Principles.

Aplication and Award Process

Preapplication Coordination

Preapplication coordination is required.

Environmental impact information is not required for this program.

This program is excluded from coverage under E.O.

12372.

Application Procedures

This program is excluded from coverage under 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The applicant will submit a formal application for conditional or firm commitment through a HUD approved mortgagee.

Award Procedures

The local HUD Multifamily Hub and Program Center reviews the application to determine proposal eligibility. If the project meets program requirements, the local HUD Multifamily Hub and Program Center issues the commitment to the lender to insure the project.

Deadlines

Not Applicable.

Authorization

National Housing Act, Section 223(f), as amended; Housing and Community Development Act of 1974, as amended, Public Law 93-383. 12 U.S.C. 1715n.

Range of Approval/Disapproval Time

Processing time depends on the degree of preparation of the sponsor, and whether MAP or TAP is used.

Appeals

If an application for mortgage insurance is denied, HUD will state the reasons for denial.

Renewals

The term of a commitment to insure may be extended under certain circumstances when more time is required to close the loan.

Assistance Considerations

Formula and Matching Requirements

This program has no statutory formula. This program has no matching requirements. This program does not have MOE requirements.

Length and Time Phasing of Assistance

The mortgage term should not be less than 10 years nor should it exceed the lesser of 35 years or 75 percent of the estimated remaining economic life of the physical improvements. See the following for information on how assistance is awarded/released: Over the life of the loan.

Post Assistance Requirements

Reports

No reports are required.

Audits

In accordance with the provisions of 2 CFR 200, Subpart F - Audit Requirements, non-Federal entities that expend financial assistance of $750,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Non-Federal entities that expend less than $750,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in 2 CFR 200.503. The Department of Housing and Urban Development reserves the right to audit the accounts of either the mortgagee or mortgagor in order to determine their compliance and conformance with HUD regulations and standards.

Records

Mortgagees are required to service and maintain records in accordance with acceptable mortgage practices of prudent lending institutions and the HUD regulations.

Financial Information

Account Identification

86-4077-0-3-371.

Obigations

(Guaranteed/Insured Loans) FY 15 Not Separately Identifiable(Exp: Reported under 14.134); FY 16 Not Separately Identifiable(Exp: Reported under 14.134); and FY 17 Not Separately Identifiable(Exp: Reported under 14.134)

Range and Average of Financial Assistance

No Data Available.

Regulations, Guidelines, and Literature

Fact Sheet, Section 223(f) Mortgage Insurance; 24 CFR 200, HUD Handbook 4565.1, Mortgage Insurance for the purchase or Refinancing of Existing Multifamily Housing Projects, Section 223(f) available on www.hudclips.org. The Multifamily Accelerated Processing (MAP) guide may be found at http://www.hud.gov/offices/hsg/mfh/map/maphome.cfm.

Information Contacts

Regional or Local Office

See Regional Agency Offices. Persons are encouraged to communicate with the nearest local HUD Multifamily Hub or Program Center listed at http://www.hud.gov/offices/hsg/mfh/mfbroch/hubs_pcs.cfm or the nearest HUD Field Office listed in Appendix IV.

Headquarters Office

Carmelita James 451 Seventh Street SW, Washington, District of Columbia 20410 Email: carmelita_a._james@hud.gov Phone: (202) 402-2579

Criteria for Selecting Proposals

Not Applicable.