The FHA / HUD 223(a)7 loan program provides a streamlined refinance option for existing FHA-insured loans in order to reduce a project's debt service burden by lowering the interest rate and extending the maturity date, and in some cases, reducing the HUD mortgage insurance premium rate. Qualifying projects stand to continue benefiting from the credit enhancement afforded by the FHA / HUD loan insurance program with the same attractive features of the existing FHA-insured loan but with lower debt service payments.  Key characteristics of this 223(a)7 loan program include:

• Fully amortizing;
• Longer term / amortization;
• Low interest rate, fixed for the term of the loan;
• Higher leverage; and
• Non-recourse.

Additional details are available here: 223(a)7 Loan Program. 

Submit the information below to see how a 223(a)7 loan can benefit your project.