HUD recently released Notice 2018-04 announcing the annual base city High Cost Percentage (HCP), High Cost Area, and Per Unit Substantial Rehabilitation Threshold for 2018. The FY 2008 Consolidated Appropriations Act revised the statutory exceptions to maximum mortgage amounts for FHA Multifamily Housing Programs, allowing HUD to grant exceptions to maximum mortgage limits for certain Multifamily Housing programs by up to 170% or potentially up to 215% in High Cost Areas on a project-by-project basis.
The HUD Office of Multifamily Production has determined areas considered High Cost Areas, and has listed them in the notice.
