Below, please find information from HUD regarding the Calendar Year 2018 Basic Statutory Mortgage Limits for Multifamily Housing Programs. For more information, please click here.
The Federal Register Notice on Basic Statutory Mortgage Limits for Multifamily Housing Programs for Calendar Year 2018 was published today.
The FHA Down Payment Simplification Act of 2002 amended the National Housing Act by adding a new Section 206A that in turn affects several sections (see tables in the Notice). The dollar amounts in these sections are the base per unit statutory limits for FHA’s multifamily mortgage programs and have been adjusted annually since 2004 on the effective date of the Consumer Financial Protection Bureau’s adjustment of the $400 figure in the Home Ownership and Equity Protection Act of 1994 (HOEPA). The adjustment of the dollar amounts is calculated using the percentage change in the Consumer Price Index for All Urban Consumers (CPI-U) as applied by the Bureau of Consumer Financial Protection for purposes of the HOEPA adjustment.
The percentage change in the CPI-U used for the HOEPA adjustment is 2.1 percent and the effective date of the HOEPA adjustment is January 1, 2018. The dollar amounts under Section 206A have been adjusted correspondingly and have an effective date of January 1, 2018.
The adjusted dollar amounts for Calendar Year 2018 are shown in the Notice. These amounts are multiplied by the High Cost Factor for the respective geographical area listed in the Housing Notice dated May 23, 2018 to determine the maximum per unit loan amount for the FHA multifamily mortgage insurance programs. Please contact with any questions.
Thank you for your attention.
Multifamily Communications Team