Market Rate

Financing Market Rate Multifamily Housing with AGM

When you develop a multifamily property, you are building – and risking- more than just that deal. You’re building your reputation, your strength, and your legacy. Small and mid-size developers like you need to know that you can get your project financed and your loan closed. Reliable, predictable, available debt is critical to all you do . With consistent underwriting – the same in every market, for every deal, every time – FHA-insured financing can help you build not just your project, but your legacy as well.

Since 1990 and with more than $10 billion in loans closed, we at AGM Financial Services Services have built our business – and our legacy – by providing the best possible FHA financing to multifamily developers like you.

What is FHA Financing?

FHA financing is mortgage insurance for apartment projects. And it is magic.

Through a clearly defined process, FHA mortgage insurance turns your deal into government-backed paper and access to the capital markets, giving you proceeds and pricing not available from banks or other lenders. And it does it without relying on personal guarantees or recourse beyond the property itself. Designed to provide steady, reliable, long-term access to project financing, FHA-insured financing can be a great way to build apartments – and your legacy.

Advantages of FHA Financing for Commercial Developers

With AGM and FHA, you can keep your projects on track and your mind at ease with:

Certainty of Execution
We take you and your project through the process to closing and beyond.

Lower Rates and Longer Terms
With FHA you get lower rates rates and longer terms and amortization, thanks to federal backing.

Higher Leverage
We provide loans at 1.176 DSC and up to 85% of cost, offering more proceeds than many other lenders.

Nonrecourse
Peace of mind with no personal or corporate guarantees.

“I’ve worked with the people at AGM for more than thirty-five years. We’ve closed more than $275 million in FHA-insured transactions together. Some of those were tough deals. AGM has always been there for us, and I’ve always trusted them to get our deals done.”

Salvador F. Leccese

President, LeCesse Development Corporation

How AGM Financial Services Can Help

At AGM, we understand that debt financing is just one of the challenges you face, from entitlements to construction budgets to operating costs and beyond. Our team, equipped with real experience in multifamily development and operations, provides a perspective different from most lenders. And like you, we know what it’s like to run a business with long product cycles and the imperative of getting deals closed.

As an FHA lender, we can help developers finance these market-rate multifamily deals:

New Construction

We offer FHA-insured 221(d)(4) construction / permanent loans that provide up to 85% of cost for new apartment construction or substantial rehab with higher leverage, lower rates, 40-year amortization and term and no recourse.

Get Our Market-Rate
New Construction Guide

Acquisition

The 223(f) loan program can also be used to acquire existing multifamily properties and can include proceeds for renovations as well, all nonrecourse at the same 1.176 DSC and 35 year term.

Refinancing

We offer FHA-insured 223(f) loans to refinance existing multifamily debt. With lower coverage ratios (1.176) and longer, fully amortizing 35-year terms, an FHA-insured refinancing is available at 80% LTV with cash out or 85% LTV with no cash out.

And FHA’s 223(a)(7) loan program can make refinancing existing FHA-insured debt remarkably easy when interest rates fall.

Both 223(f) and 223(a)7 loans are nonrecourse.

Download Our Market-Rate
Refinancing Guide

Whether you’re looking to acquire, build, rehab or refinance a multifamily project, we’ve done it, and you can trust AGM to be there with you every step of the way.

Ready to elevate your market-rate multifamily housing project?

As a lender with broad multifamily experience, AGM can help guide both affordable and market-rate developers through the process from initial concept to closing and beyond.

Contact AGM for financing that’s as reliable as it is rewarding. Call us at 800.729.4266 or submit the form below. We respond within one business day because your development project can’t wait—and neither should you.