VHFA offers construction and permanent mortgage financing for the development and preservation of affordable rental housing. VHFA loans bring with them rent restrictions and household income limits. VHFA multifamily permanent loans are subject to monitoring, insurance, budget, and audit requirements. Requirements vary by funding source.  Funds come from a number of sources including:

  • Proceeds from the sale of tax-exempt or taxable bonds
  • VHFA reserves

Eligibility for multifamily financing programs

Housing sponsors must be organized on a limited profit or a nonprofit basis and approved by VHFA as qualified to own, construct, acquire, rehabilitate, operate, manage or maintain residential housing.

Eligible projects

Rental housing properties eligible for VHFA financing can include the following types of living units:

  • Transitional housing
  • Congregate homes for the elderly
  • Mobile home parks
  • Single Room Occupancy (SRO) units
  • Special needs housing
  • Emergency shelters
  • Residential care facilities
  • Cooperative housing
  • Nursing homes

Questions? For more information on development loans, please contact Development staff at (802) 864-5743.