Guidelines on Potential Cap Exclusions, High Cost Areas
FHFA recently refined their guidelines on which geographic areas are “high” and “very high cost” — following their May announcement on the types of loans excluded from our 2015 production cap.
Learn more about these guidelines in our new resource document. You’ll find information on what’s excluded from the cap as well as the very high and high cost markets.
The FHFA decision was welcome news because it encourages more volume in affordable/workforce housing. Workforce housing makes up about 85 percent of what we do. And we’re more committed than ever to working with you to provide rental housing people can afford.
Previously, Freddie Mac and Fannie Mae loans in these redefined high and very high cost areas were generally in the capped category. By excluding these loans from the cap, we’re able to provide more liquidity to these high demand housing markets.
We plan to be “smart aggressive” in this affordable/workforce housing space. To that end, we’ve held a series of internal training conference calls so that all of Production, Underwriting and Capital Markets are on the same page.
We’re excited about new opportunities to work together to provide affordable housing. And we intend to continue to be your preferred “go to” provider of multifamily capital — now and in the years to come.