Current Trends in Debt Financing for Multifamily Development

What It’s About

High construction and borrowing costs and a scarcity of debt in early 2023 have made developing new multifamily projects more challenging than in recent years. For all loan types, there has been a reduction in leverage and the cost of capital has increased; however, there are still ways to finance multifamily developments. This presentation will review the pros and cons of using HUD financing, along with commentary on conventional financing. We'll address varying issues ranging from labor wages, prepayment penalties, tax credit incentives and affordable housing.