Short answer
MIP is the annual mortgage insurance premium paid to FHA on HUD-insured multifamily loans. For multifamily applications submitted or amended on or after October 1, 2025, and not yet initially endorsed, upfront and annual MIP are 25 basis points. The affordable, broadly affordable, and green MIP categories were eliminated.
How does the program tier MIP rates?
Multifamily MIP is not tiered by affordable, broadly affordable, or green categories for applications in that window.
Should MIP affect product selection?
Yes. HUD's all-in cost (coupon plus MIP plus servicing) is sometimes higher than agency execution despite a lower coupon. But HUD's 35 to 40 year fully amortizing structure with non-recourse and no balloon is uniquely valuable on long-hold deals and affordable preservation projects.
Sources
- Multifamily Accelerated Processing (MAP) Guide · U.S. Department of Housing and Urban Development · current