Resident-Owned Cooperative/Multifamily-Owned Cooperative Loan Program
Program Description
The ROC/MOC Loan Program provides financing options for mobile home communities and other multifamily housing communities to purchase or refinance the land of mobile home parks or multifamily residential buildings where cooperative members reside as their primary residences.
The Board of Investments (BOI) will work with an Approved Lender to fund the loans. Approved Lenders are responsible for underwriting and originating all loans.
Program Guidelines
- The BOI can participate in up to 90% of the loan amount.
- The maximum loan term is 30 years.
- The maximum amortization period is 40 years.
- Loans will feature a fixed interest rate determined by the length of the loan term.
- Interest rates will be updated weekly and can be found at the link provided below.
- The percentage of tenant-occupied homes may not exceed 35%.
- Only Approved Lenders may submit Loan Reservation and Loan Application forms. BOI does not lend directly to borrowers.
- Borrower must partner with a technical assistance provider and property manager for the term of the note.
Reservation Process
- Approved Lender completes and submits the Loan Reservation Form.
- The reservation fee is 0.25% of the BOI participation amount.
- Submission of the Loan Reservation form and fee payment locks an interest rate and reserves funds for one year.
- The interest rate is locked as of the date on the Loan Reservation form is received by BOI.
- The reservation fee will be taken from the Approved Lender’s authorized account via ACH.
Application Process
- Approved Lender completes and submits the Loan Application form. Please contact Sam Holman to start this process.
- BOI completes a full underwriting credit review.
For program information and details, please contact Sam Holman at 406.444.1214.