FHA Mortgage Insurance and the HUD 223(f) Loan Program
FHA mortgage insurance protects against loan defaults and decreases risk for lenders. In the event of default, the FHA mortgage insurance pays claims based on certain requirements. FHA mortgage insurance is available for both single-family homes, through programs such as the 203(b) and 203(k) insurance programs, and for multifamily properties, through programs including the HUD 223(f) loan program for the acquisition and refinancing of multifamily properties.
Other FHA mortgage insurance programs for multifamily properties include the HUD 221(d)(4) program insuring loans for the construction and substantial rehabilitation of multifamily properties, and the HUD 232 program insuring loans for the construction, acquisition, refinancing, and substantial rehabilitation of senior living properties.