515 MFH Direct Loan Program

This program provides financing for new construction or acquisition and substantial rehabilitation of multi-family low-income housing units.

Eligibility

• Public entities
• Non-profit organizations
• Individuals
• Limited profit corporations / partnerships
• Indian Tribes
• Proposed projects must be included on the 'Designated Place List' (determined annually based on adequate low income housing availability and other factors)

Terms & Rates

• 30 years (may be amortized up to 50 years)
• Fixed interest rate based on Treasury Rate
• Loan payment subsidized to 1%

Eligible Use of Funds

• Construction & Rehabilitation
• Purchase and improvement of land
• Provision of streets, water, and waste disposal systems
• Development of appropriate recreation and service facilities
• Installation of laundry facilities and equipment
• Landscaping

Other Things To Consider

• Rental assistance available to subsidize the rents for the tenants

For more information on this or any program offered by Rural Development, please contact your nearest Area Office.

Application Materials
515 Program Regulation (7 CFR 3560)
515 Application Checklist
515 Application (Standard Form 424)
DUNS #
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