Program workspace

“PRODUCT DESCRIPTION Financing for multifamily properties supported by Section 8 project-based contracts or tenant-based vouchers through credit enhancements and/or cash loan purchases.”

“PRODUCT DESCRIPTION Financing for the acquisition or refinance of stabilized affordable multifamily properties with 4% Low-Income Housing Tax Credits (LIHTC) with at least 7 years remaining in the tax-credit benefit stream. Could also include HUD Risk Share.”

“PRODUCT DESCRIPTION Financing for the acquisition or refinance of stabilized affordable multifamily properties with fixed-rate or floating-rate cash loans; see the Fixed-Rate Loan or Floating-Rate Loan term sheet for more information.”

“PRODUCT DESCRIPTION Financing for the moderate rehabilitation of Non-LIHTC affordable multifamily properties that have tenants in place.”

“PRODUCT DESCRIPTION Financing for the moderate rehabilitation of affordable multifamily properties with a new 9% LIHTC and tenants in place.”

“PRODUCT DESCRIPTION Impact Gap Financing provides the infrastructure to enable Impact Investors to invest directly in NOAH properties and close capital gaps between Sponsor-provided equity and the Freddie Mac NOAH Preservation Loan. Impact Investors may work with Borrowers directly, with a Freddie Mac Multifamily Optigo lender, or with Freddie Mac, who can help match them to potential properties and Borrowers. Nonprofits will work with an Optigo lender who will make both the Freddie Mac NOAH Preservation Loan and the Impact Gap Loan simultaneously, providing a one-stop shop for comprehensive debt financing up to 97% loan-to-cost, to go with a minimum 3% Borrower equity contribution. For the Optigo Seller to make the Freddie Mac NOAH Preservation Loan and the Impact Gap Loan together, the Impact Investor must be identified for the Impact Gap Loan prior to receiving a soft quote, and the following must be in place prior to interest rate-lock on the NOAH Preservation Loan:   Impact Investor must execute and deliver a commitment to the Freddie Mac Seller to purchase the Impact Gap Loan. Freddie Mac will perform confirmatory due diligence and provide a back-up commitment to purchase in the event the Impact Investor fails to purchase the Impact Gap Loan.”

“PRODUCT DESCRIPTION Tax-exempt financing for the moderate rehabilitation of affordable multifamily properties with a new 4% LIHTC and tenants in place.”

“PRODUCT DESCRIPTION Unfunded forward commitments for new construction or major rehabilitation.”

“Provides mortgage insurance to refinance properties currently insured by FHA in an expedited manner.”

“Provides mortgage insurance for the construction or rehabilitation of skilled nursing and assisted living facilities. Unlicensed independent living units are also allowed but cannot exceed 25% of the total units of the project without a waiver. Other licensed seniors housing property types are also eligible, including intermediate care facilities and board & care homes (collectively, “Residential Care Facilities”). ELIGIBLE BORROWERS Experienced profit motivated, non-profit and public owners are eligible. TERRITORY Nationwide. MAXIMUM TERM 40 years plus a construction period. STANDARD LOAN AMOUNTS NEW CONSTRUCTION: The lesser of: 80% of stabilized value (85% for non-profits) for skilled nursing and independent living units. 75% of stabilized value (80% for non-profits) for assisted living units. 90% of FHA’s allowable replacement cost. Amount that results in a debt service coverage ratio of 1.45x based on the underwritten Net Operating Income. 100% of FHA’s allowable costs less grants, public loans and tax credits. SUBSTANTIAL REHABILITATION: The lesser of: 80% of stabilized value (85% for non-profits) for skilled nursing and independent living units. 75% of stabilized value (80% for non-profits) for assisted living units. 90% of FHA’s allowable replacement cost. Amount that results in a debt service coverage ratio of 1.45x based on the underwritten Net Operating Income. 100% of FHA’s allowable costs less grants, public loans and tax credits. PROGRAMMATIC MAXIMUM LOAN AMOUNTS FHA is authorized to exceed the stabilized value and debt service coverage limits identified above up to (i) 90% of stabilized value (95% for non-profits) and (ii) an amount that results in a 1.11x debt service coverage ratio. Exceptions to the Standard Loan Amounts are rare and only granted when a project has unique attributes that mitigate the additional risk of a higher loan amount. NOI & VALUE CALCULATION In determining underwritten NOI, market-based management fees are included for debt service coverage and loan-to-value sizing tests. PERSONAL LIABILITY None. The FHA loan is non-recourse; however, identified principal(s) will be required to sign “Bad Boy” carve outs at closing. ASSUMABLE Yes, subject to HUD and lender approval and payment of the assumption fee (0.05% of the original loan amount). INTEREST RATE Subject to market conditions. PREPAYMENT Subject to market conditions. Typical structures include either a 1 or 2-year lock-out period, with the remainder of the first 10 years open to prepayment subject to a penalty that declines annually. Other variations are possible based on market conditions and borrower preferences. MORTGAGE INSURANCE PREMIUM The annual MIP is currently 0.77% (0.45% if the project utilizes Low Income Housing Tax Credits) of the outstanding loan amount. FHA APPLICATION FEES 0.3% of loan amount, payable to HUD at submission of the firm application. FHA INSPECTION FEE 0.5% of loan amount (new construction). 0.5% of costs associated with construction (sub rehab). REPLACEMENT RESERVES Annual deposits required equivalent to the sum of (i) 0.60% of total structure cost and (ii) 10% of major movable equipment per annum. SECONDARY FINANCING Permitted in the form of a surplus cash note and from governmental sources only. FUNDING Qualifies for Ginnie Mae guaranteed mortgage-backed securities or direct placement, or may be used to credit enhance tax-exempt bonds. TIMING Lender underwriting and preparation of an application will take approximately 8 weeks. Timing for approval from FHA will be contingent on their workload at the time of the application submission. Lument will estimate this timing based on recent experience. THE PROGRAM HAS THE FOLLOWING ADDITIONAL PARAMETERS The FHA Section 232 mortgage insurance program is one of the most attractive credit enhancement programs available for taxable and tax-exempt financing of Residential Care Facilities. Under the FHA Section 232 program, FHA insures each construction loan disbursement as an advance is made and, upon “Final Endorsement,” it insures the permanent mortgage. The mortgagor may also choose insurance upon completion of construction. The proposed operator/manager needs to demonstrate experience in leasing and operating facilities similar to the proposed development. A master lease may be required when an owner finances 3 or more properties or $15 million or greater in combined loan amounts with the FHA healthcare programs within an 18-month period. Lument is a leading FHA-approved Mortgagee and MAP/LEAN lender and actively provides financing utilizing FHA insurance programs nationwide pursuant to Multifamily Accelerated Processing (MAP) and LEAN underwriting methods. In its prequalifying review, Lument will attempt to estimate both the loan amount and the fees and costs associated with the transaction. Actual loan amounts and actual fees and expenses may vary from the prequalifying estimates. A prequalifying estimate is not a commitment to make a loan. Download Term Sheet Financing Options Fannie Mae Freddie Mac HUD/FHA Loans Real Estate Capital Markets Balance Sheet Services Investment Banking Investment Sales Mergers and Acquisitions Investment Management Loan Servicing & Asset Management Mortgage Banking Services Property Specialties Multifamily Housing Affordable Housing Small Loan Multifamily Manufactured Housing Seniors Housing Skilled Nursing Hospital Investment Sales Multifamily Affordable Housing Seniors Housing Available Offerings Insights & Resources Insights Case Studies Newsroom Events Recent Transactions Term Sheets The Servicing Edge Frequently Asked Questions Subscribe About Our People Life at Lument Careers Offices © Copyright Lument 2026. All Rights Reserved Privacy Policy Terms of Use Mortgage Company Licensing Disclosures Counterparty Code of Conduct Lument is a subsidiary of ORIX Corporation USA. Securities, Investment Banking and Advisory Services provided through Lument Securities, LLC, Member FINRA / SIPC . *Investment advisory services are provided by Lument Investment Management, LLC, registered as an investment adviser with the U.S. Securities and Exchange Commission. We use cookies on this website. By continuing to navigate this website, you consent to the use of cookies. Our Privacy Policy explains what cookies are, how we and our service providers use cookies, your choices regarding cookies and further information about cookies . Continue Copy link Copy Copied Powered by Social Snap Close GDPR Cookie Settings Privacy Overview Strictly Necessary Cookies Powered by GDPR Cookie Compliance Privacy Overview This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful. Strictly Necessary Cookies Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings. Enable or Disable Cookies Enabled Disabled Enable All Save Settings”

“Provides insured second mortgages to finance repairs, additions and improvements to existing multifamily properties already held or insured by HUD. The program is intended to keep a property competitive and extend its economic life. ELIGIBLE BORROWERS Profit motivated, non-profit and public owners with existing FHA loans are eligible. ELIGIBLE ASSET TYPE Market rate, affordable 1 , or rental assisted 2 multifamily properties. MAXIMUM LOAN The lesser of: The amount of debt that can be serviced by 90% net operating income to the property after completion of the new improvements, less the current annual debt service requirements on all outstanding indebtness relating to the property; The lesser of 90% of (a) value, or (b) costs attributed to the repairs, additions or improvements for market rate, affordable 1 , or rental assisted 2 properties, respectively; The amount of debt which when added to existing outstanding indebtedness relating to the property, does not exceed 90% Loan to Value of the combined first mortgage and 241(a) addition; and MAXIMUM TERM 40 years, not to exceed 75% of remaining economic life. OCCUPANCY Maximum underwritten physical occupancy not to exceed parameters of underlying mortgage insurance program. FUNDING Qualifies for Ginnie Mae guaranteed mortgage-backed securities, direct placement or may be used to credit enhance tax-exempt bonds. INTEREST RATE Subject to market conditions. The construction and permanent financing interest rate is set at initial closing. MORTGAGE INSURANCE PREMIUM The annual MIP has historically ranged from 0.25% to 0.95% of the outstanding loan amount. PREPAYMENT Typically closed for 2 years then open to prepayment at 108% in year 3, declining 1% per year. Other variations are possible based on market conditions and borrower preferences. TIMING Section 241(a) processing usually takes about 5 to 7 months (subject to deal specifics). FHA APPLICATION FEES 0.30% of the loan amount (non-refundable). FHA INSPECTION FEES 0.50% of loan amount. REPLACEMENT RESERVES Annual deposits based on a 20 year repair and replacement analysis of the property with a minimum deposit of $250 per unit. PERSONAL LIABILITY None. The FHA loan is non-recourse. ASSUMABLE Yes, subject to HUD and lender approval (0.05% of the original loan amount due at application submittal). TERRITORY Nationwide. THE PROGRAM HAS THE FOLLOWING ADDITIONAL PARAMETERS Loans insured under 241(a) assume program characteristics of the underlying the mortgage insurance program. Proposed repairs may not be primarily items of deferred maintenance. Davis-Bacon prevailing wage requirements do apply to construction/repair costs if the first mortgage loan was financed under FHA’s construction loan program (Section 221(d)(4)). If the existing loan was financed under FHA’s acquisition/refinancing program (Section 223(f)) then Davis-Bacon prevailing wages do not apply. Lument is a leading FHA-approved Mortgagee and MAP/LEAN lender and actively provides financing utilizing FHA insurance programs nationwide pursuant to Multifamily Accelerated Processing (MAP) and LEAN underwriting methods. In its prequalifying review, Lument will attempt to estimate both the loan amount and the fees and costs associated with the transaction. Actual loan amounts and actual fees and expenses may vary from the prequalifying estimates. A prequalifying estimate is not a commitment to make a loan. 1 Affordable defined as: (a) properties that have a recorded regulatory agreement in effect for at least 15 years after final endorsement, and (b) properties that meet at least the minimum Low Income Housing Tax Credit (LIHTC) restrictions of 20% of units at 50% of the Area Median Income (AMI), or 40% of units at 60% of AMI, with economic rents (i.e. portion paid by tenants) on those units no greater than LIHTC rents (i.e. properties need not use LIHTCs to be considered affordable so long as they comply with (a) and (b)). 2 Rental assisted defined as: properties that have at least 90% of their units supported by a project based rental assistance contract. The contract or separate agreement must ensure affordability restrictions for a period of 15 years. Download Term Sheet Financing Options Fannie Mae Freddie Mac HUD/FHA Loans Real Estate Capital Markets Balance Sheet Services Investment Banking Investment Sales Mergers and Acquisitions Investment Management Loan Servicing & Asset Management Mortgage Banking Services Property Specialties Multifamily Housing Affordable Housing Small Loan Multifamily Manufactured Housing Seniors Housing Skilled Nursing Hospital Investment Sales Multifamily Affordable Housing Seniors Housing Available Offerings Insights & Resources Insights Case Studies Newsroom Events Recent Transactions Term Sheets The Servicing Edge Frequently Asked Questions Subscribe About Our People Life at Lument Careers Offices © Copyright Lument 2026. All Rights Reserved Privacy Policy Terms of Use Mortgage Company Licensing Disclosures Counterparty Code of Conduct Lument is a subsidiary of ORIX Corporation USA. Securities, Investment Banking and Advisory Services provided through Lument Securities, LLC, Member FINRA / SIPC . *Investment advisory services are provided by Lument Investment Management, LLC, registered as an investment adviser with the U.S. Securities and Exchange Commission. We use cookies on this website. By continuing to navigate this website, you consent to the use of cookies. Our Privacy Policy explains what cookies are, how we and our service providers use cookies, your choices regarding cookies and further information about cookies . Continue Copy link Copy Copied Powered by Social Snap Close GDPR Cookie Settings Privacy Overview Strictly Necessary Cookies Powered by GDPR Cookie Compliance Privacy Overview This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful. Strictly Necessary Cookies Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings. Enable or Disable Cookies Enabled Disabled Enable All Save Settings”

“Provides insured second mortgages to finance repairs, additions and improvements to existing multifamily properties already held or insured by HUD. The program is intended to keep a property competitive and extend its economic life. ELIGIBLE BORROWERS Profit motivated, non-profit and public owners with existing FHA loans are eligible. ELIGIBLE ASSET TYPE Nursing homes or assisted living properties. MAXIMUM LOAN The lesser of: The amount of debt that can be serviced by 90% net operating income to the property after completion of the new improvements, less the current annual debt service requirements on all outstanding indebtness relating to the property; The lesser of 90% of (a) value, or (b) costs attributed to the repairs, additions or improvements for market rate, affordable 1 , or rental assisted 2 properties, respectively; The amount of debt which when added to existing outstanding indebtedness relating to the property, does not exceed 90% Loan to Value of the combined first mortgage and 241(a) addition; and MAXIMUM TERM 40 years, not to exceed 75% of remaining economic life. OCCUPANCY Maximum underwritten physical occupancy not to exceed parameters of underlying mortgage insurance program. FUNDING Qualifies for Ginnie Mae guaranteed mortgage-backed securities, direct placement or may be used to credit enhance tax-exempt bonds. INTEREST RATE Subject to market conditions. The construction and permanent financing interest rate is set at initial closing. MORTGAGE INSURANCE PREMIUM The annual MIP has historically ranged from 0.25% to 0.95% of the outstanding loan amount. PREPAYMENT Typically closed for 2 years then open to prepayment at 108% in year 3, declining 1% per year. Other variations are possible based on market conditions and borrower preferences. TIMING Section 241(a) processing usually takes about 5 to 7 months (subject to deal specifics). FHA APPLICATION FEES 0.30% of the loan amount (non-refundable). FHA INSPECTION FEES 0.50% of loan amount. REPLACEMENT RESERVES Annual deposits based on a 20 year repair and replacement analysis of the property with a minimum deposit of $250 per unit. PERSONAL LIABILITY None. The FHA loan is non-recourse. ASSUMABLE Yes, subject to HUD and lender approval (0.05% of the original loan amount due at application submittal). TERRITORY Nationwide. THE PROGRAM HAS THE FOLLOWING ADDITIONAL PARAMETERS Loans insured under 241(a) assume program characteristics of the underlying the mortgage insurance program. Proposed repairs may not be primarily items of deferred maintenance. Davis-Bacon prevailing wage requirements do apply to construction/repair costs if the first mortgage loan was financed under FHA’s construction loan program (Section 221(d)(4)). If the existing loan was financed under FHA’s acquisition/refinancing program (Section 223(f)) then Davis-Bacon prevailing wages do not apply. Lument is a leading FHA-approved Mortgagee and MAP/LEAN lender and actively provides financing utilizing FHA insurance programs nationwide pursuant to Multifamily Accelerated Processing (MAP) and LEAN underwriting methods. In its prequalifying review, Lument will attempt to estimate both the loan amount and the fees and costs associated with the transaction. Actual loan amounts and actual fees and expenses may vary from the prequalifying estimates. A prequalifying estimate is not a commitment to make a loan. 1 Affordable defined as: (a) properties that have a recorded regulatory agreement in effect for at least 15 years after final endorsement, and (b) properties that meet at least the minimum Low Income Housing Tax Credit (LIHTC) restrictions of 20% of units at 50% of the Area Median Income (AMI), or 40% of units at 60% of AMI, with economic rents (i.e. portion paid by tenants) on those units no greater than LIHTC rents (i.e. properties need not use LIHTCs to be considered affordable so long as they comply with (a) and (b)). 2 Rental assisted defined as: properties that have at least 90% of their units supported by a project based rental assistance contract. The contract or separate agreement must ensure affordability restrictions for a period of 15 years. Download Term Sheet Financing Options Fannie Mae Freddie Mac HUD/FHA Loans Real Estate Capital Markets Balance Sheet Services Investment Banking Investment Sales Mergers and Acquisitions Investment Management Loan Servicing & Asset Management Mortgage Banking Services Property Specialties Multifamily Housing Affordable Housing Small Loan Multifamily Manufactured Housing Seniors Housing Skilled Nursing Hospital Investment Sales Multifamily Affordable Housing Seniors Housing Available Offerings Insights & Resources Insights Case Studies Newsroom Events Recent Transactions Term Sheets The Servicing Edge Frequently Asked Questions Subscribe About Our People Life at Lument Careers Offices © Copyright Lument 2026. All Rights Reserved Privacy Policy Terms of Use Mortgage Company Licensing Disclosures Counterparty Code of Conduct Lument is a subsidiary of ORIX Corporation USA. Securities, Investment Banking and Advisory Services provided through Lument Securities, LLC, Member FINRA / SIPC . *Investment advisory services are provided by Lument Investment Management, LLC, registered as an investment adviser with the U.S. Securities and Exchange Commission. We use cookies on this website. By continuing to navigate this website, you consent to the use of cookies. Our Privacy Policy explains what cookies are, how we and our service providers use cookies, your choices regarding cookies and further information about cookies . Continue Copy link Copy Copied Powered by Social Snap Close GDPR Cookie Settings Privacy Overview Strictly Necessary Cookies Powered by GDPR Cookie Compliance Privacy Overview This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful. Strictly Necessary Cookies Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings. Enable or Disable Cookies Enabled Disabled Enable All Save Settings”

“Periodic draws of unfunded loan proceeds (as opposed to an escrow) to reimburse the sponsor for up to 80% of the renovation costs on a monthly or quarterly basis, as work is completed, similar to construction financing.”

“Pre-Construction Analysis Report: Must provide opinion to whether construction plan can reasonably be completed within the budget and schedule.”

“Properties must be able to demonstrate an ability to achieve stabilized occupancy within 18 months of construction completion (special exception may be given to high rise buildings).”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”

“Property Specialties Multifamily Housing”