The Federal Housing Administration (FHA) reports that demand for multifamily loan financing is at an all-time high at the agency.
With less than two months remaining in the fiscal year, FHA has endorsed $10.5 billion in multifamily rental housing loans since last October. This is only the second time in the agency's history that volume has surpassed the $10 billion mark.
So far this fiscal year, the FHA has endorsed nearly 1,100 multifamily loans, which is more than seven times the number of loans it had endorsed three years ago.
The FHA further reports that it has published updated underwriting and program guidance that is meant to accelerate and coordinate the processing of new loan applications.
"While we're seeing record volume, we also recognize we have to accelerate the time it takes us to process these applications so we continue to meet this demand at the very time the market needs us the most," says Carol Galante, the FHA's acting commissioner.
The FHA's revised Multifamily Accelerated Processing (MAP) guide is intended to cut the time required to approve loan applications and to assure consistent application of program requirements and credit standards across all U.S. Department of Housing and Urban Development processing offices, the FHA says.
The new MAP guide delegates more underwriting responsibility to approved "MAP lenders" and includes all relevant guidance published by the FHA since the MAP guide was last updated in 2002.