For FY2011, total endorsements for FHA’s multifamily programs were $11.6 billion, exceeding FY2010 by 12%. In spite of a 13% decrease in staff over the past 5 years, firm commitments issued by HUD increased in FY2011 by 23% from FY2010. These levels of endorsements and commitments are new levels of achievement for the FHA multifamily program. During FY2011, HUD Multifamily received 1,312 applications, issued 1,303 commitments and 1,139 endorsements. Also during FY2011, the Office of Multifamily Programs rolled out its Breaking Ground: Delivering Results Initiative. The initiative rolls out a series of process and management changes to FHA’s multifamily application procedures. After testing pilot programs in Ft. Worth and Baltimore earlier in the year, Breaking Ground is being rolled out in four waves to the other Hub offices over the next 6 –12 months. During the months of July, August and September, HUD was able to reduce its back log of applications by 10%, and if that pace continues, reaching a point of processing applications in 60 days or less on a consistent basis will take about one year. For more information about HUD’s Breaking Ground Initiative and the schedule of field offices for its release, click here.
In FY2011, the Office of Healthcare Programs received 708 applications for its Section 232 senior housing programs, and issued $3.7 billion in commitments and $3.3 billion in initial endorsements. Though processing times averaged approximately 300 days, the queue was reduced by 20% over the course of the year. HUD expects to continue to reduce its backlog in healthcare applications and reports the reduction in processing times will directly correlate to the reduction in the back log in the queue. To view a summary of OHP’s production last year, click here.
Via the Mortgage Bankers Association.