Existing HUD-insured healthcare and multifamily properties.
Single-asset, special purpose entities, either for-profit or non-profit.
Existing HUD-insured loan may be increased back up to 100% of the original principal balance (subject to General Loan Parameters)
GENERAL LOAN PARAMETERS
The maximum loan amount is the lesser of:
Fixed-rate, subject to market conditions at time of rate lock.
TERM & AMORTIZATION
The term of the existing HUD-insured loan may be extended by up to 12 years (subject to HUD approval) not to exceed the term of the original loan.
MORTGAGE INSURANCE PREMIUM
0.50% at closing,
0.55% annually thereafter.
Fully assumable, subject to HUD approval.
Typically loans are prohibited from prepayment for the 1st year, then have a 9% penalty declining 1% each year thereafter until 0%. Alternative lockout and prepayment structures are available.
PROFESSIONAL LIABILITY INSURANCE
HUD requires a minimum coverage of $1 million per occurrence and $3 million in aggregate. Waivers may be granted in cases where premiums are high and claims history is clean.
Contact your First American representative for a price quote.
Have any questions about this program? You can reach out to us by filling out a contact form.