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Alerts & Notices (Alertas)
  • Board Meeting Notice: The February board meeting will be held Thursday, February 21st at 10:30 am. 

Multifamily Loan Programs

Community Revitalization Fund Tax Credit

Formerly titled the "Mixed-Use Development (MUD) Tax Credit Program"

This program was established as part of the final FY16/17 enacted Commonwealth budget to authorize the Pennsylvania Housing Finance Agency (PHFA) to administer tax credits as part of an overall strategy designed to encourage and maximize the leveraging of public and private resources for the development of mixed-use projects in commercial corridors of the Commonwealth.

General Multifamily Program Requirements

The information below is not a complete description of the various programs and is subject to change without notice. Detailed program information including eligibility requirements, maximum/minimum loan amounts, repayment terms and conditions, and application deadlines is found in the Application.

UPDATE: At this time, we do not have any completed developments to post on this page.

Taxable and Tax Exempt Bond Programs

The proceeds from the sale of Agency taxable and/or tax-exempt bonds are used to make conventional loans to finance affordable housing. These loans must be secured by the real estate and recorded in a first lien position. A bond loan may be coupled with the PennHOMES program to enable a development to be affordable by lower income households or to achieve economic feasibility. Applications for bond loans are accepted throughout the year unless the same application is also seeking a PennHOMES loan and/or Low Income Housing Tax Credits.

Questions regarding Agency multifamily financing programs should be directed to the Development Division 717.780.3876.

PennHOMES Program

The PennHOMES program can provide a soft loan to a development that restricts one-half of the PennHOMES assisted units for households with incomes at or below 50 percent of the area’s median income. The remaining PennHOMES assisted units must be restricted for households with incomes at or below 60 percent of the area’s median income. The PennHOMES loan can be subordinated only to an Agency or Agency approved third party primary mortgage loan. The PennHOMES loan has a zero percent interest rate, a 30-year term, and repayment is made from excess cash flow as determined annually by the Agency. Funding is limited and applicants are encouraged to make maximum use of other public and private financing resources. Application for PennHOMES funds are accepted only during an application cycle as identified in the guideline section of the application.

Construction Loan

This program provides below market rate construction loans for multifamily rental housing developments in conjunction with a permanent take-out loan from a lender other than the Agency. Applications for a construction loan may be submitted anytime throughout the year unless the applicant is also seeking a PennHOMES Loan and/or Low Income Housing Tax Credits.