§2.Multifamily loan limits
This section increases specified per-unit mortgage limits ("Dollar Amounts") for FHA-insured multifamily rental housing, cooperative, rehabilitation, nursing home, and elderly housing projects under §§207, 213, 220, 221(d), 231, and 234 of the National Housing Act to higher amounts ranging from $166,509 to $385,387 (from $35,978 to $87,588)—e.g., in §207(c)(3)(A), to $167,310-$375,443 (from $38,025-$85,328); in §213(b)(2), to $181,311-$377,678 (from $41,207-$85,836); and similarly in the other sections—and strikes ", or not to exceed $17,460 per space" in §207(c)(3)(A)(F). (As background, these limits cap the maximum principal obligation per unit or space for FHA mortgage insurance in programs serving affordable and senior housing, cooperatives, hospitals, nursing homes, and related facilities. Thus, the increases expand eligible project sizes and costs.)
This section further revises the annual indexing of those Dollar Amounts under §206A by—
(1) basing adjustments, commencing January 1, 2026, on the percentage change (March of the previous year to March of the adjustment year) in the Bureau of the Census Price Deflator Index of Multifamily Residential Units Under Construction, as calculated by the Secretary of Housing and Urban Development (previously, CPI-U percentage change as applied by the Federal Reserve Board to HOEPA's $400 threshold, commencing 2004); and
(2) requiring the Secretary to publish adjustments in the Federal Register, rounded to the next lower dollar (previously, the Federal Reserve Board notified the Secretary in writing).