The U.S. Department of Housing and Urban Development (HUD) recently announced that new Federal Housing Administration (FHA) rules designed to boost housing production are now in effect. The new rules bring more favorable debt service coverage ratios (DSCRs), loan-to-cost ratios (LTC), and loan-to-value (LTV) ratios on certain types of FHA multifamily loans, unlocking more proceeds to borrowers.
The U.S. multifamily sector finished 2024 with the wind at its sails, as the market settled into a more normalized cycle. Rental demand continued to be driven by solid wage growth and household formation, as well as high home prices leading many would-be-homebuyers to consider lifestyle renting.
In times of volatility, it pays to have support from a team willing to go the extra mile. Whether it’s meeting tight deadlines or ensuring all requirements are met, Arbor’s Federal Housing Administration (FHA) Underwriting department remains committed to helping borrowers secure loans that expand rental housing opportunities for Americans.
The U.S. multifamily market held steady in a more normalized cycle during the third quarter of 2024. Rental demand remained strong, while new leaders emerged among the top markets for rent growth.
Networking and attending industry conferences to learn trends and insights are among the most advantageous ways young commercial real estate finance professionals can advance in their careers. This year, Gabriel Rondon, Analyst, Structured Asset Management at Arbor and a CRE Finance Council (CREFC) Young Professionals Network member, was selected as one of the network’s ambassadors at CREFC Miami, giving him a golden opportunity to expand his professional horizons.
Although the single-family rental (SFR) sector’s profile expanded after the 2007-2010 subprime mortgage crisis, the number of its households slid between 2016 and 2020 as many rentals transitioned into owner-occupied homes. Following a period of pandemic-related uncertainty, SFR has returned to growth mode, increasing its number of households for the second time in three years.
Arbor’s Special Report Spring 2025, developed in partnership with Chandan Economics, covers the state of the U.S. rental housing market on the cusp of a new cycle. After a year of steady growth, favorable trends put wind in the sector’s sails, giving rise to budding optimism. With the economic landscape shifting, the rental housing market’s resilient performance in 2023 and 2024 provides a solid foundation for continued growth.
Continually challenged by low inventory, affordable housing sits at a crossroads following the 2024 election. Incoming leadership plans to introduce market-based principles to an agenda that may also include an expanded Housing Choice Voucher program.
For 30 years, Uniondale, NY-based Arbor Realty Trust, Inc. (NYSE: ABR) has helped multifamily and commercial real estate clients achieve their financial goals by focusing on growing long-term relationships and conducting business as not simply another real estate lender, but as a partner – as we believe that the right financial partner is worth a thousand words.
Top 10 lender by volume for more than a decade and a repeat Top Small Loans Lender.
Approved Freddie Mac Seller/Servicer and a Top Small Balance Loan Lender.
Shorter-term, one-stop shop financing for multifamily and commercial assets positioned for permanent take-out.
HUD-approved MAP, LIHTC & Lean Lender for multifamily, seniors and healthcare.
Arbor provides long-term Fannie Mae and HUD-insured financing solutions for the creation and preservation of affordable housing.
Bridge, Permanent and Build-to-Rent loan solutions through Arbor’s proprietary platform.
Solutions used in conjunction with new or existing commercial loan financing to help in completing all the components of the capital stack.
Efficient and transparent online loan origination and processing.
Experienced servicing division that oversees a multibillion-dollar portfolio and is rated by S&P and Fitch for commercial and special servicing.
