What does this program do?
It restructures loans for existing Rural Rental Housing and Off-Farm Labor Housing projects to help improve and preserve the availability of safe affordable rental housing for low income residents.
Who may apply for this program?
Current multi-family housing project owners with Rural Rental Housing and Off-Farm Labor Housing loans, or applicants who have submitted an application for transfer of ownership of an eligible project may apply for the MPR program.
How may funds be used?
Funds may be used to preserve and improve existing Rural Rental Housing and Off-Farm Labor Housing projects in order to extend their affordable use without displacing tenants through increased rents. A third party Capital Needs Assessment (CNA) will help identify project needs. The cash flow from the deferred RHS direct loan principal and interest payment will be deposited to the RHS project’s reserve account, or as directed by the Agency, to meet the project’s present and/or future physical needs.
What kinds of funding are available?
The funding is being made available through the Multifamily Housing Preservation and Revitalization Demonstration Program.
Under the Multifamily Housing Preservation and Revitalization Demonstration Program, USDA is providing grants, and debt deferrals, as well as zero- and low-interest loans, to owners of USDA-financed rental and farmworker housing properties in rural areas.
Under the Rural Rental Housing Program, USDA is providing subsequent loans to help improve and preserve the availability of safe affordable rental housing for low-income residents. Eligible applicants must currently finance their properties through the USDA Rural Rental Housing Loan Program or the Off-Farm Labor Housing loan program.
How do we get started?
A Notice of Funding Availability (NOFA) is posted in the Federal Register.
Who can answer questions?
Find contact information on the Contact tab.
What governs this program?
Notice of Funding Availability (NOFA)
NOTE: Because citations and other information may be subject to change please always consult the program instructions listed in the section above titled "What Governs this Program?"
Preliminary Assessment Tools PAT (v8.4.1) released 09/25/2024 as posted contains updates that align the Preliminary Assessment Tool (PAT) with the 2024 LIHTC and 2024 HUD FMR Rents, 2025 Management fee, 2023 State Average Actual Cost Analysis for comparison . This version retains the same enhancements and functionality of Version 8.4. The PAT (v8.4.1) can now upgrade older versions 8.3. and 8.3.1 and 8.4 to the 8.4.1 version. A summary of updates may be found on the “About This Template” sheet within the template. A new feature to the PAT (v8.4.1) is that Agency FIN reports can be uploaded without any modification. The FIN 1700,1200 and 2000 can be uploaded without adjusting any columns in the report.
CNA Template (xlsm) - The CNA Template Ver 1.5h should be used in lieu of all previously used versions of CNA Worksheets. The CNA Template Ver 1.5i 52318 contained errors and should not be used. The template documents the findings reached when using RD's Addendum the Capital Needs Assessment (CNA) process. It includes updated estimated useful life tables and incorporates the rehabilitation guidance and miscellaneous format revisions for consistency with current program initiatives. This form has been tested and verified using the standard Windows Microsoft Excel ® (Excel 2013) to resolve compatibility issues previously reported. Use with other operating systems such as those from Apple® or Android®, or those using earlier spreadsheet programs may continue to experience compatibility issues requiring further discussion in the CNA report.
Capital Needs Assessment Process Addendum (PDF) - This Addendum addresses the Capital Needs Assessment (CNA) process for RD-financed properties. It provides guidance and clarification to assist RD borrowers, providers and staff for all RD required CNA assessments for loan making and servicing. This Addendum includes general instructions to be used in completing the RD CNA reports, specific instructions on how to use the expected useful life tables, and a set of applicable forms including the Terms of Reference form; Systems and Conditions forms; and Evaluator's Summary forms. This Addendum is comprised of nine main sections: 1) Definitions; 2) Contract Addendum; 3) Requirements and Statement of Work (SOW) for a CNA; 4) The CNA Review Process; 5) Guidance for the Multi-Family Housing (MFH) CNA Recipient Regarding Contracting for a CNA; 6) Revising an Accepted CNA During Underwriting; 7) Updating a CNA; 8) Incorporating a Property’s Rehabilitation into a CNA; and 9) Repair and Replacement Schedule. This entire Addendum should be made available to RD MFH property owners, applicants and CNA Providers who are or are planning to submit transactions using the MPR or any other RD RRH or FLH program loan making or servicing authorities. Only CNAs following this Addendum will be accepted.
Multifamily Housing Construction Monitoring Checklists (zip) The Construction Monitoring Checklists provide guidance and clarification to assist RD borrowers, applicants and staff throughout the construction submittal, project delivery, and construction monitoring processes. These checklists include general instructions used in meeting the construction requirements per 7 CFR 1924 and 7 CFR 3560.
Multifamily Housing Appraisal Assignment Guidance (zip). The Appraisal Assignment Guidance documents provide standardized appraisal guidance for each multifamily housing program. The documents remove the need for specific appraisal assignment guidance for each individual project. The applicant will download the applicable appraisal assignment guidance based on their specific transaction and provide it to their appraiser in order to obtain an appraisal. Once the appraisal is completed, the applicant will submit the appraisal along with the complete application package to the agency. The appraisal must be submitted with the application. If an appraisal is submitted prior to the application submission, it will be returned to the applicant. The agency will no longer provide specific appraisal assignment guidance for each individual project, instead, the applicant will be responsible for downloading the applicable standardized appraisal assignment guidance for their specific transaction and providing it to their appraiser.
There are no other additional requirements at the national level.
FOR FURTHER INFORMATION CONTACT: Jonathan Bell, Director, Processing and Report Review Branches, Production and Preservation Division, MFH, RD, USDA, via email: MFHprocessing1@usda.gov or telephone: (202) 205–9217 for additional information on this Notice.
Any questions regarding loan obligation dates should be directed to the Agency servicing specialist assigned to the property. Find the Servicing specialist assignments by property.