The Federal Housing Administration (FHA) today unveiled a new pilot program to test an accelerated approval process for the purchase or refinancing of multi-family rental properties assisted through the Low-Income Housing Tax Credit (LIHTC) Program.
In launching this pilot program in Chicago, Detroit, Boston, and Los Angeles, FHA’s Office of Multifamily Housing Programs believes it can cut the time needed to review and approve financing applications for LIHTC-assisted transactions from approximately one year to just 90 – 120 days. The Hubs will process LIHTC loans for all of their related program centers.
Reducing the time required to review and approve applications under FHA’s Section 223(f) Program helps align FHA-insured financing with the LIHTC Program standards including the need to meet strict time deadlines. Expediting FHA review and approval is needed since failure to meet bond closing or other LIHTC performance deadlines may result in forfeit of the credit allocation or bond reservation and may impair the borrower’s ability to secure tax credits for future transactions. Read FHA’s Housing Notice for details of this pilot program.
Read more...FHA ANNOUNCES PILOT PROGRAM TO ACCELERATE FINANCING OF LOW-INCOME HOUSING TAX CREDIT PROJECTS via RealEstateRama
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.