Apartment Industry Applauds FHA Move to Cut Multifamily Mortgage Insurance Rates, Boost Affordable Housing
WASHINGTON, D.C. — Statement from the National Multifamily Housing Council (NMHC) and National Apartment Association (NAA) released in response to the Federal Housing Administration’s decision to cut multifamily mortgage insurance rates and increase affordable housing:
“We applaud U.S. Department of Housing and Urban Development (HUD) Secretary Julián Castro for his announcement today focused on increasing the amount of affordable, quality rental housing nationwide by cutting Federal Housing Administration (FHA) multifamily mortgage insurance rates. Ultimately, the goal of the announcement is to grow critical capital financing of affordable and energy-efficient apartments nationwide – a goal we share as our industry continues to make housing affordability a top priority.
“FHA anticipates that this move will result in the vital rehabilitation of an additional 12,000 units of affordable housing each year and, over the next three years alone, nearly 40,000 families could ultimately benefit. According to FHA, lowering multifamily insurance rates is likely to leverage more than $400 million in new mortgage financing for affordable housing and energy-efficient development.
“We look forward to continuing to work closely with HUD, the Obama Administration and Congress on this important initiative and in developing additional common sense, cost-effective policy solutions to help in addressing affordable housing concerns.”
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