FHA Loan Modification Interest Rate

Interest Rate Reduction

Loan Modifications for Multifamily Properties

Program Overview:
This program permits the modification of an existing loan only for the purpose of
reducing the interest rate. The existing prepayment penalty must be paid in full

Qualified Properties

Properties with existing FHA insured loans are eligible. Must be out of lock-out before the request is submitted

Loan Amount

No increase in loan proceeds available; however, a minimum DSC of 1.11x is required
based on T-12 operating financials and the new interest rate

Maximum Term

No term extension available

Fees and Expenses

Minimal fees and expenses. No financing fees. Prepayment penalties, lender legal fees and
title/recording can all be paid through premium generated by the interest rate. Borrower
legal, if any, must be paid out of pocket at closing


  • • 30 - 45 days

  • • No underwriting required

  • • HUD asset management approval required

Other FHA Requirements

  • • Replacement reserve escrow remains in place
    • No third party reports required
    • MIP remains at existing level


Monday9:00AM - 6:00PM
Tuesday9:00AM - 6:00PM
Wednesday9:00AM - 6:00PM
Thursday9:00AM - 6:00PM
Friday9:00AM - 6:00PM
Saturday12:00PM - 5:00PM


Email, Give Us A Call Or Send Us A Fax


Email: info@ncploans.com

Toll Free: 888-640-3444

E-fax: 866-257-9609