Programs
HUD multifamily loan programs
FHA insures apartment loans under a handful of sections of the National Housing Act. Each one fits a different moment in a property's life: buying or refinancing a stabilized building, building or gut-rehabbing one, cutting the rate on an existing HUD loan, or adding to it. Live counts come from HUD's file of September 30, 2026.
Acquisition and refinance HUD 223(f): buying or refinancing an existing apartment property Section 223(f) is FHA's insured loan for buying or refinancing an existing apartment property of 5 or more units. Since January 2025 it lends up to 87% of value at a 1.15x debt service coverage for market-rate deals and 90% at 1.11x for affordable ones, fixed for up to 35 years, non-recourse, with a 0.25% annual MIP. 5,711 active loans $67.4 billion owed 5.4% median rate, last 12 mo. New construction and substantial rehab HUD 221(d)(4): construction and substantial rehab loans for apartments Section 221(d)(4) is FHA's insured loan for building or substantially rehabilitating an apartment property of 5 or more units. One loan covers construction and then up to 40 years of fixed-rate, non-recourse permanent debt, sized at up to 87% of cost at 1.15x for market-rate deals and 90% at 1.11x for affordable, rental-assisted or Middle Income ones. Davis-Bacon wages apply. 2,159 active loans $42.4 billion owed 5.7% median rate, last 12 mo. Refinance of an insured loan HUD 223(a)(7): the streamlined refinance of an FHA-insured apartment loan Section 223(a)(7) refinances an apartment loan that is already FHA-insured into a new FHA-insured loan, with a lighter review, a 0.15% HUD application fee and a 30-day target for HUD's decision. It cannot return cash. It pays when your existing note rate or mortgage insurance premium is well above today's, which is why HUD endorsed none in fiscal 2025 and one in fiscal 2026. 2,157 active loans $17.1 billion owed Supplemental loan HUD 241(a): a second loan for improvements or additions to an FHA-insured property Section 241(a) is an FHA-insured second mortgage for repairs, improvements or new units at an apartment property that already has an FHA-insured first loan. It lends up to 90% of the value of the work, the two loans together must cover debt service at 1.11x, and the owner puts in at least 10% of the cost. It leaves the first loan, and its rate, in place. 69 active loans $789.1 million owed 5.85% median rate, last 12 mo. Affordable housing through state agencies HUD risk sharing: Section 542(c) state HFA loans and 542(b) partner loans Under Section 542(c), a qualified state or local housing finance agency underwrites and services an affordable apartment loan, FHA fully insures it, and the agency agrees to repay HUD a set share (10% to 90%) of any loss. Under 542(b), HUD shares risk with other qualified partners, including Fannie Mae and Freddie Mac. The MIP is 0.25% times FHA's share of the risk. 1,285 active loans $13.2 billion owed 5.75% median rate, last 12 mo. Urban renewal and mixed use HUD Section 220: construction loans for mixed-use housing in revitalization areas Section 220 insures construction or substantial rehab loans for mixed-use apartment projects in designated revitalization areas, including Opportunity Zones. It sizes like 221(d)(4) but lets commercial space produce up to 30% of effective gross income, against 15% under 221(d)(4). It is a niche program: only a few dozen active loans sit in HUD's file. 34 active loans $1.6 billion owed Senior apartments HUD Section 231: construction loans for senior and accessible apartments Section 231 insures construction or substantial rehab loans for rental apartments built for people 62 and older, with up to 25% of units for people with disabilities. It sizes like 221(d)(4), needs at least 8 units, and covers independent-living apartments only: assisted living and nursing care belong to Section 232. Few developers use it; HUD's file holds only a few dozen active 231 loans. 46 active loans $540.9 million owed Cooperatives HUD Section 213 and co-op refinancing: FHA loans for housing cooperatives Section 213 insures the blanket mortgage on a housing cooperative's building, for new construction (213) or substantial rehabilitation (213(i)). It is processed under HUD's traditional track, not MAP. An existing co-op refinances under Section 207 pursuant to 223(f), which the MAP Guide sizes at 65% of the property's rental value with no cash out. The 0.25% MIP applies to both. 38 active loans $558.5 million owed Base program and manufactured home parks HUD Section 207: what it means today, and FHA loans for manufactured home communities Section 207 is the original 1934 FHA rental housing section. Today it matters in two ways: most 223(f) purchase and refinance loans are insured under Section 207 pursuant to 223(f), and it covers manufactured home parks. Stand-alone 207 lending is close to extinct: HUD's file holds two active 207 manufactured home park loans. Mission-driven buyers of parks now use HUD's 2024 MHC program under 223(f). 2 active loans $7.7 million owed Operating loss loans HUD 223(d): operating loss loans for FHA-insured apartments Section 223(d) lets FHA insure a second loan that covers operating losses at an apartment property that already has an FHA-insured mortgage. HUD suspended new 223(d) commitments for apartments starting in fiscal 2013 and repeated the suspension each year through fiscal 2016. We found no HUD notice lifting it, so treat 223(d) for apartments as unavailable unless HUD confirms otherwise.
Updated October 31, 2026. Terms come from HUD's MAP Guide (Handbook 4430.G), Mortgagee Letter 2025-03 (LTV and DSCR) and 90 FR 45789 (MIP). Loan counts and balances: HUD, Insured Multifamily Mortgages, active file, as of September 30, 2026. Each program page lists its own sources.