From Vision
to Reality
How Our Process Supports
Your Development Plan
We’ll guide you through every step of your multifamily loan journey, from the spark of an idea to the ribbon-cutting and beyond. If you’re new to multifamily, you can draw on our experience, not only in multifamily finance, but in project development as well.
In the brief video below, you’ll get a glimpse of how AGM and FHA work with commercial developers through the 10 steps to deal success — from finding a deal to closing and rolling it into a permanent loan and everything in between and after.
Our clients appreciate our straightforward process and flat organizational structure.
You won’t find any barriers to jump or mountains to climb at AGM. You can always talk to the person who originated your deal, and you can always talk with the owners. They’ll know your deal and where it stands.
At AGM, we pride ourselves on personal service and attention to detail. Our goal is to make your FHA-insured loan experience as simple as possible – and to add value along the way.
Below, we walk through the five key phases of the FHA financing process: from origination through underwriting, closing, funding, and long-term servicing. Understanding what happens at each stage helps you know what to expect, when to expect it, and how we support your project from concept to stabilization.
1
At AGM Financial Services, loan origination starts with a conversation, not a pitch.
Every project begins with an idea, and our first priority is to listen. We take the time to understand your vision, your goals, and what you’re trying to accomplish, then we assess whether FHA-insured financing is right for your project.
From the beginning, we talk openly about what it will take to get the deal done. That includes the opportunities, potential challenges, and clear expectations around process and timing.
Experience matters from the outset.
Our origination team brings deep experience to that initial discussion. They understand multifamily projects, FHA requirements, and market fundamentals at a practical level, not just in theory. That experience helps you make smart decisions early and avoid wasting time and money.
We focus on feasibility, not momentum alone.
Early in the process, we take a close look at market and submarket conditions, developer experience, project scope, and timing. When appropriate, we may recommend a market study at the concept stage. The goal is simple: avoid dead ends and unnecessary costs on projects that might not be a good fit for FHA.
Honest conversations about challenges build better outcomes.
We’re realistic about the challenges facing developers today. Rising construction costs, higher rates, and regulatory requirements have made new construction more difficult. We won’t promise outcomes we can’t deliver. Instead, we identify potential obstacles early and work with you to overcome them, ensuring clear, well-aligned next steps.
Direct access keeps decisions clear and efficient.
At AGM, access matters. You’ll work directly with an experienced originator, and firm leadership is always available. There are no handoffs to junior teams unfamiliar with your project, and no layers or committees that slow decision-making. The people evaluating your deal are the same people who move it forward.
Our development insight goes beyond the loan itself.
Our origination team brings a strong understanding of development beyond financing. We pay close attention to entitlement costs, permitting fees, and other line items that can derail a project if overlooked. Identifying these costs early helps avoid surprises later in the process.
Clarity at origination supports informed decisions.
After working with your originator, you’ll have a clear picture of your project’s fit for FHA, the expected path forward, and the requirements ahead. That clarity allows you to move ahead with fewer surprises and greater confidence in the process.
AGM’s origination process is hands-on and rooted in deep industry expertise. Many AGM originators started as underwriters, ensuring viable deals are surfaced early and minimizing wasted time. AGM works closely with clients from start to finish, providing direct access to decision-makers.
AGM’s team stays abreast of regulatory changes and helps clients account for all costs upfront, including permits, entitlement fees, and potential “hidden” expenses. Their knowledge helps prevent surprises and ensures deals remain feasible throughout the process.
FHA’s program allows for lower equity requirements and offers fixed, long-term rates, providing developers with certainty and helping projects succeed even when traditional lenders are cautious.
AGM originates, underwrites, and closes its own loans, so clients avoid the delays and inefficiencies caused by handoffs. The team also works closely with public entities and investors, ensuring timely execution and advocacy when challenges arise.
AGM prioritizes long-term partnerships, aiming to support clients’ success even if it doesn’t always result in a closed deal. Their goal is to become a trusted advisor developers return to for future projects.
2
Once a deal moves past origination, underwriting is where the details come into focus.
At AGM Financial Services, underwriting is where the work is done to align your project with FHA requirements and get the details right, so your project can move through the process, secure a commitment, and get to closing.
FHA underwriting is detailed for a reason.
FHA-insured financing for multifamily is nonrecourse, meaning that HUD and not the developer takes on the risk of default during construction and over the 40-year life of the loan. As a result, FHA financing means better terms and lower rates than would otherwise be available. The tradeoff is that projects are carefully reviewed. Documentation is detailed, and the process is largely standardized rather than negotiated deal-by-deal. Our role is to identify questions early, when there’s time to address them, and walk with you through every step of the process.
Guidance and communication keep the process manageable.
Our underwriters the numbers, the documentation and the third-party reports required for HUD review. We work closely with your team to gather accurate, complete information and help prioritize what matters most at each stage. Regular check-ins keep your project on track and ensure you always know what’s coming next.
Early planning helps prevent avoidable delays.
Environmental review is one area where planning ahead makes a meaningful difference. HUD has specific requirements related to environmental conditions and issues such as demolition, site conditions, or noise must be addressed properly. Identifying potential concerns early allows them to be handled early and to keep you moving forward.
Conservative underwriting supports stronger long-term performance.
FHA underwriting is based on current rents, current expenses, and comparable data, not projections. This conservative approach supports long-term loan performance and often results in projects outperforming underwriting once in operation.
By the end of underwriting, expectations are clearly defined.
You’ll leave underwriting with a clear sense of timing and next steps, along with a solid understanding of what’s required to keep the loan moving forward. That level of clarity helps minimize surprises and keeps the process on track.
FHA financing offers highly competitive rates that are often lower than those from Fannie, Freddie, or traditional banks for similar leverage. It also allows for non-recourse construction debt, which limits investor liability and risk. The full backing of Ginnie Mae securities provides further confidence to investors in the project’s security and reliability.
AGM provides hands-on support throughout the financing process, including frequent communication with developers, their teams, and investors. Weekly calls and direct involvement in design and underwriting help ensure all parties are aligned, deadlines are managed, and potential issues (such as environmental due diligence) are identified early. This proactive approach minimizes surprises and keeps projects on track.
A common misconception is that HUD/FHA financing is only for affordable or Section 8 housing. In reality, FHA loans can also be used for market-rate housing, offering very favorable underwriting terms that expand opportunities for developers and investors looking beyond traditional affordable housing parameters.
3
Closing represents the culmination of months of work, and at AGM Financial Services, we approach it with the same attention to detail that defined the earlier stages.
The closing process involves coordinating final documentation, title work, legal review, and HUD approval to ensure everything aligns before funds are released.
Clear coordination reduces last-minute complications.
Our team works closely with your legal counsel, title company, and other parties to identify and resolve any outstanding issues well before the closing date. We’ve seen how last-minute surprises can disrupt timing, so we focus on thorough preparation rather than rushed corrections.
Documentation is reviewed for accuracy and completeness.
FHA closings require precise documentation. We review loan documents, title commitments, and regulatory requirements to ensure everything is in order. That level of detail helps prevent delays and supports a smooth transition to funding.
You’ll know what to expect at every stage.
From the final commitment letter through closing, we keep you informed about what’s needed, when it’s needed, and what comes next. By the time you reach closing, there should be no surprises, just execution.
4
Once closing is complete, funding marks the official start of your project.
At AGM Financial Services, we coordinate with HUD to ensure funds are disbursed properly and that construction can begin with the financing in place.
Initial endorsement activates the loan.
After closing, the loan receives initial endorsement from HUD, which releases the first draw of funds. This step formalizes the loan and allows construction to move forward under FHA oversight.
Draw management supports steady progress.
Throughout construction, we manage the draw process in coordination with HUD requirements. Funds are released based on verified construction progress, ensuring that money flows when it should while maintaining compliance with FHA standards.
Transition to servicing is seamless.
From the moment funding begins, our servicing team is already engaged. That continuity means there’s no gap in support as your project moves from construction through stabilization and ongoing operations.
5
At AGM Financial Services, servicing reflects a long-term commitment to your loan.
After closing, support continues with a focus on compliance, consistency, and steady performance throughout the life of the loan. We service all of the loans we close, with no handoffs or transfers.
Experienced servicing supports long-term stability.
FHA-insured loans come with ongoing requirements. Our servicing team understands those requirements and helps ensure they are handled correctly and on schedule, reducing unnecessary disruption and helping protect the loan over time.
Clear communication helps you stay informed.
Questions don’t stop once a loan closes. Our servicing team is available to answer questions and provide guidance as circumstances change. Regular communication helps you understand what is expected and where to turn for support, rather than having to navigate issues on your own.
Proactive servicing helps address issues early.
Over the life of a loan, changes can occur, whether related to operations, financial performance, or market conditions. Servicing provides a framework for identifying concerns early and working through them before they can impact performance.
A long-term view supports stronger outcomes.
Because FHA loans are designed to be held long term, servicing focuses on more than day-to-day administration. Ongoing oversight helps support stable operations, maintain compliance, and navigate the responsibilities that come with FHA-insured financing.
Reliable servicing supports steady performance over time.
With AGM servicing your loan, you can expect a consistent point of contact, clear guidance, and support from a team that understands both your loan and the FHA framework. That reliability allows you to stay focused on operating your property while the servicing work continues in the background.
AGM prides itself on high-level customer service, acting as a proactive partner throughout the life of the loan. The same asset manager handles a borrower’s project from beginning to end, ensuring continuity, personal knowledge of each deal, and direct access for faster resolutions.
AGM maintains open communication with borrowers, proactively engaging with them if their lease-up or stabilization projections fall short. Common questions include how to access HUD funds for marketing and lease-up activities, which AGM helps facilitate quickly and efficiently through organized submission and fast reimbursement.
Borrowers submit invoices and a HUD form to AGM, who reviews and approves eligible expenses. Well-organized submissions are processed quickly—typically within 2 to 5 business days—directly by the construction loan administrator without extra HUD red tape.
Borrowers have direct access to their asset manager, who can quickly bring in underwriters, service leaders, or owners when needed. This eliminates lengthy chains of communication and ensures issues are resolved efficiently. The team knows clients by name and project, prioritizing relationships over bureaucracy.
The servicing team brings decades of experience, allowing them to anticipate client needs, offer proactive reminders, and foresee challenges before they arise. They understand borrowers’ context, ensuring advice and solutions are tailored rather than generic.
AGM is incorporating AI and automation for internal, repetitive tasks to free up staff time for more personalized client service. They are also exploring portals for clients to access guidance efficiently while maintaining a strong emphasis on the human aspect of their support.
Through strong, long-term relationships with HUD, AGM can quickly resolve issues, connect borrowers with the right HUD contacts, and advocate effectively on clients’ behalf, often going beyond what’s possible for larger or less relationship-focused servicers.
With AGM, you’re not just getting a great loan; you’re building a relationship.
That’s why 60% of our borrowers are repeat clients. We’re your champion, your advocate, and your friend, a trusted source for advice, market insights, and detailed knowledge of FHA products. Every step of the way, we’re dedicated to helping you turn your vision into reality.