Rural Research Notes
Shawn Poynter / There Is More Work To Be Done
Shawn Poynter / There Is More Work To Be Done
Maturing USDA Rural Rental Housing Loans: An Update
The Housing Assistance Council (HAC) analyzed data on USDA’s multifamily loan portfolio as of the end of March 2016. At that time, there were about 13,830 Section 515 properties with over 416,000 rental units. Nearly two-thirds of the households in these properties receive USDA Rental Assistance. The average tenant household has an income of about $13,600.
USDA calculated a “project exit” date which includes a loan maturity, or estimated payoff date. These projections indicate that an average of 74 properties (1,788 units) per year will leave the program over the next 12 years (2016 – 2027). In 2028, the number properties exiting the program is expected to increase significantly with an average loss of 556 properties (16,364 units) per year through 2032. For the following eight years after 2032, the numbers of properties exiting the program increases for an average loss of roughly 22,600 units per year, peaking in 2040.
To view an interactive map of properties and estimated exit dates for each property visit https://arcg.is/29638UI
