It is no secret that HUD’s LEAN program has had an underwriting queue in place for some time; however, there is significant evidence that suggests that queue times are shrinking. In fact, the a7 Green queue (existing HUD insured deals that are not seeking a term extension) has been eliminated and the a7 Regular queue is currently experiencing less than a 30 day wait!
The following graphs illustrate the weekly queue movement for the 223f Refinance/Acquisition queue (non-portfolio) and the Other queue (new construction or sub-rehab.):
Both queues show a positive trend, especially the 223f Refinance/Acquisition queue. In fact, it is expected that HUD will have eliminated that queue by Q2 2012. While the Other queue continues to move at a slow pace, we are hopeful that HUD will dedicate more resources towards that queue to help expedite new construction and substantial rehabilitation transactions, many of which are very time sensitive.