1. Midwest Lenders Conference Acting Director, Office of MF Production
September 5, 2018
Patricia Burke
Acting Director, Office of MF Production

2. Basic FHA Multifamily Programs Endorsements (Closings) Actual FY 2017 and Projected Fiscal Year Annualized data as of 8/25/2018

3. 221d4 New Construction/Sub Rehab – Endorsements (Annualized 2018 based on data to 8/25/18)

4. 223f & A7s Refinancings – Endorsements (Annualized 2018 based on data to 8/25/18)

5. % change in $ volume from FY2017
Basic FHA Multifamily Programs Firm Commitments Projected for Fiscal Year 2018 Annualized data as of 8/25/2018
Program
# of loans
Volume ($ Millions)
% change in $ volume from FY2017
New Constr/Sub Rehab
272
$6,687
320%
223(f)
504
$7,588
-7%
223(a)(7) 64
$870
-60%
TOTAL
840
$15,712
-1%
This slide demonstrates the previous point, with overall steady volume, a decrease in 223(a)(7) volume and an increase in our Section 221(d)(4) and other New Construction / Sub Rehab programs.

6. PRE-DECISIONAL, PROPRIETARY, and CONFIDENTIAL
LIHTC – FHA Production 221d4, 223f, A7, 241a and Other & Risk Share (excl. Health Care) Firm Commitments
Tax Credit Production – MF FHA Basic and Risk Share
FY16
FY17
FY18 (annualized based on YTD 8/25/18)
# of Projects
322
372
335
$ Volume
$3.1 Billion
$3.8 Billion
$4.1 Billion
# of Units
45,565
53,445
49,305
4/15/2015
PRE-DECISIONAL, PROPRIETARY, and CONFIDENTIAL

7. Incoming Pipeline Basic MF FHA programs – FY 2016 to 8/25/18
Here are the numbers in terms of incoming pipeline.
4/15/2015
PRE-DECISIONAL, PROPRIETARY, and CONFIDENTIAL

8. Incoming Pipeline Basic MF FHA programs – FY 2016 to 8/25/18
Here are the numbers in terms of incoming pipeline.
4/15/2015
PRE-DECISIONAL, PROPRIETARY, and CONFIDENTIAL

9. Hit Ratio – how likely to get approved (note: Some deals get Final Reject, then are reworked and resubmitted as new applications and ultimately do get approved – thus, HUD and Lender get to work on it twice. This is obviously inefficient.)
Program / Stage
# of decisions made - FY16, during the MF Transformation
% approved
(the rest were either rejected or owner withdrew)
# of decisions made - FY17, Post-MF Transformation
223(a)(7) - FIRM
177
95%
93%
223(f) - FIRM
453
89%
595
92%
NewC/Sub Rehab
PREAPP
223
48%
356
42%
FIRM
230
88%
247
91%
This slide shows “Hit Ratios” – the % that are not rejected or withdrawn. Firm Commitments show a steady improvement, Preapps show a deterioration. The lesson learned is that we have tightened up on Environmental compliance, and are concerned about excess supply. Lenders should think about this.