During the construction phase, interest-only payments are followed by a 40-year fully amortizing permanent loan. The loan term is capped at 75% of the property's economic life for optimal financial management.

Development Costs: Up to 85% for market-rate, 87% for LIHTC restricted, and 90% for properties with at least 90% rental assistance.

These costs encompass the value of land for new construction and the as-is value of the property
for substantial rehabilitation.

‍FHA Mortgage Statutory Limits: Adjusted for
the local high-cost factor.

‍Minimum Debt Service Coverage (DSC):
‍a) 1.176x DSC for market-rate properties.
b) 1.15x DSC for LIHTC restricted properties.
c) 1.11x DSC for properties with at least 90%
rental assistance.

85% loan-to-value (LTV) applies to market-rate or LIHTC-restricted properties with rents <10% below market.

For LIHTC-restricted properties with rents at least
10% below market, the LTV is 87%.

Projects with 90% or greater rental assistance
qualify for a 90% LTV.

Fixed interest rate

Development of age-restricted properties, either through new construction or substantial rehabilitation, with tenancy restricted to individuals aged 62 and over.

A singular asset entity, whether for-profit, nonprofit or public borrowers.

Achieve a maximum economic underwriting occupancy as follows:

1. 93% for market-rate properties (with a minimum of 20% dedicated to market-rate units or LIHTC units with rents < 10% below market).

2. 95% for properties under LIHTC restrictions, covering at least 80% of units at rents at least
10% below market.

3. 97% for properties with at least 90% rental assistance or in-place rehabs with a minimum of 90% occupancy and 90% LIHTC restriction at
rents at least 10% below market.

Applicable to this loan program

Annual Mortgage Insurance Premium (MIP) rates are as follows:

1. Market rate properties: 0.70%
2. Affordable properties: 0.35%
3. Broadly affordable or energy-efficient properties: 0.25%