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Refinance and Refi Cash-Out of Multifamily & Mixed-Use Properties

2.75% Fixed Interest Rate for 35 years

FHA-HUD 223(f) Loan

With interest rates at historic lows, securing a low rate immediately increased property cash flow and maximizes property appreciation as interest rates increase over time.


$3 Million to $250 Million+ per property

Eligible properties: Apartments, multifamily, cooperatives, affordable, subidized & student housing; Commercial mixed-use space limited to 25% of rentable area and 20% of gross income.

Term: 35 years

Fully amortizing

Loans up to $75 Million:

Property Type Maximum
Loan to Value
Minimum Debt
Service Coverage
Loan to Cost
Max Cash-Out LTV ³
Subsidized ¹ 90% 1.11 90% 80%
Affordable ² 87% 1.15 87% 80%
Market Rate 85% 1.18 85% 80%

Loans $75 million+ (HUD may impose limits over $100 Million):

Property Type Maximum
Loan to Value
Minimum Debt Service Coverage Acquisition
Loan to Cost
Max Cash-Out LTV ³
Subsidized ¹ and Affordable ² 80% 1.25 80% 70%
Market Rate 75% 1.30 75% 70%

¹ 90%+ of units covered by project-based Section 8 contract.

² Regulatory Agreement with a minimum set-aside (e.g., 40% of units at 60% AMI, or 20% of units at 50% AMI) in effect for at least 15 years after the new loan closes.

³ Refinances may include 100% of eligible costs (satisfaction of existing initial deposit to capital needs reserve, due diligence and closing costs) plus additional funds up to cash-out LTV.

Loan cannot exceed per-unit maximum as adjusted by HUD for project location.

Repair and Rehab Limitations: Up to $15,000 per unit times a local cost factor (typically 190%-270%); repairs may not replace 50%+ of any two building systems: electrical, plumbing, mechanical, building envelope, structural.

No balloon payments will ever come due

No prepayment after 10 years


Assumable with HUD approval without a rate increase so you can pass your property to heirs or sell it with long-term financing already in place.

Borrower must be a single purpose entity either for profit or nonprofit.

a) Taxes, insurance and mortgage insurance premium escrowed monthly;
b) Capital needs reserve maintained monthly with HUD guidelines on a property-specific basis (minimum $250/unit/year).

Mortgage Insurance Premium: 1% due HUD at closing and 0.6% annually thereafter (0.25%-0.35% for affordable and subsidized properties, 0.25% for properties with Green certification.

HUD Application Fee: 0.30% of estimated loan amount due with submission of application. HUD Application Fees reduced for properties in Opportunity Zones.

Third Party Reports: Appraisal, Environmental and Capital Needs Assessment

Timing: Typical application submitted within 45-60 days of engagement, followed by 60-90 days to issuance of HUD’s commitment and 30-45 days to closing.

Get Your Free Multifamily Loan PRE-APPROVAL LOI in 24 Business Hours by clicking the blue Multifamily & Healthcare Loan Link. Will take you less than 4 minutes to click through. No upfront fees, Social Security Numbers, credit checks or credit cards are required.

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