Answer first
In brief
Illinois has 806 active FHA-insured multifamily and healthcare loans with $8.2 billion of principal balance, according to HUD’s October 2026 active mortgage file. The balance-weighted note rate is 3.77%, and the largest program is 223(f) purchase or refinance (apartments) with 27.8% of loans.
Compiled by Bravo Capital, a HUD-approved MAP and LEAN lender, from the HUD public data files listed under Data source and method.
Key figures
- 806 active FHA-insured loans with $8.2 billion of principal balance in Illinois.
- Balance-weighted note rate of 3.77%; 64.5% of loans are below 4.00%.
- Largest program: 223(f) purchase or refinance (apartments) with 27.8% of loans.
- 29.3% of loans are on properties HUD flags as Section 8.
Program mix
| Program (section of the National Housing Act) | Loans | Share | Balance |
|---|---|---|---|
| 223(f) purchase or refinance (apartments) | 224 | 27.8% | $2.3B |
| Section 232/223(f) healthcare purchase or refinance | 181 | 22.5% | $1.8B |
| Section 232/223(a)(7) healthcare refinance | 110 | 13.6% | $962.6M |
| 542(b) and 542(c) risk sharing (HFA and QPE) | 92 | 11.4% | $819.6M |
| 221(d)(4) new construction or substantial rehab | 86 | 10.7% | $1.4B |
| 223(a)(7) refinance of an existing HUD loan (apartments) | 77 | 9.6% | $561.7M |
| Section 232 new construction or substantial rehab | 16 | 2.0% | $221.1M |
| Section 241(a)/232 supplemental loans | 7 | 0.9% | $42.7M |
| Other and legacy sections (213, 220, 231, 221(d)(3)) | 7 | 0.9% | $62.9M |
| Section 242 hospitals | 4 | 0.5% | $85.9M |
| 241(a) supplemental loans (apartments) | 2 | 0.2% | $16.7M |
Deeper cuts for this state: Section 232 healthcare loans in Illinois; 223(f) loans in Illinois.
Interest rate distribution
| Note rate | Loans | Share of loans | Balance |
|---|---|---|---|
| Under 3.00% | 260 | 32.3% | $3.0B |
| 3.00% to 3.99% | 260 | 32.3% | $2.6B |
| 4.00% to 4.99% | 116 | 14.4% | $774.6M |
| 5.00% to 5.99% | 112 | 13.9% | $1.2B |
| 6.00% and above | 58 | 7.2% | $531.5M |
| Initial endorsement | Loans | Weighted note rate |
|---|---|---|
| Before 2010 | 68 | 4.63% |
| 2010 to 2014 | 199 | 3.47% |
| 2015 to 2019 | 185 | 3.50% |
| 2020 to 2022 | 215 | 2.91% |
| 2023 to 2026 | 139 | 5.74% |
Maturity profile
| Maturity year | Loans | Share of loans | Balance |
|---|---|---|---|
| 2026 to 2030 | 8 | 1.0% | $53.0M |
| 2031 to 2035 | 15 | 1.9% | $29.6M |
| 2036 to 2045 | 125 | 15.5% | $704.2M |
| 2046 to 2055 | 321 | 39.8% | $2.9B |
| 2056 and later | 337 | 41.8% | $4.5B |
Where the loans are
| Metro area (CBSA) | Loans in state |
|---|---|
| Chicago-Naperville-Elgin, IL-IN | 530 |
| St. Louis, MO-IL | 41 |
| Peoria, IL | 29 |
| Davenport-Moline-Rock Island, IA-IL | 25 |
| Rockford, IL | 24 |
| Champaign-Urbana, IL | 16 |
| Bloomington, IL | 13 |
| Springfield, IL | 10 |
| City | Loans |
|---|---|
| Chicago | 235 |
| Rockford | 15 |
| Elgin | 15 |
| Peoria | 13 |
| Aurora | 11 |
| Waukegan | 9 |
Holders and active lenders
| Holder of record (HUD file) | Loans | Share | Balance |
|---|---|---|---|
| Merchants Capital Corp. | 106 | 13.2% | $1.0B |
| Illinois Housing Development Authority | 87 | 10.8% | $743.0M |
| Cambridge Realty Capital IL | 82 | 10.2% | $740.1M |
| Lument Real Estate Capital, LLC | 68 | 8.4% | $620.8M |
| Walker & Dunlop LLC | 57 | 7.1% | $789.0M |
| Berkadia Commercial Mortgage LLC | 44 | 5.5% | $548.7M |
| Lender at initial endorsement | Loans |
|---|---|
| Merchants Capital Corp. | 37 |
| Illinois Housing Development Authority | 37 |
| Dwight Capital LLC | 9 |
| Lument Real Estate Capital, LLC | 6 |
| Greystone Funding Company LLC | 3 |
| Walker & Dunlop LLC | 3 |
37 different holders of record appear in Illinois.
Recent endorsement activity
| Fiscal year | Loans | Mortgage amount | Units |
|---|---|---|---|
| FY2022 | 43 | $790.4M | 6,738 |
| FY2023 | 20 | $235.8M | 2,726 |
| FY2024 | 25 | $340.1M | 2,944 |
| FY2025 | 16 | $168.5M | 1,899 |
| FY2026 | 16 | $233.2M | 2,051 |
Section 8 and affordability overlap
236 of Illinois’s active insured loans (29.3%) are on properties HUD flags as Section 8, and 244 (30.3%) are on properties with any active HUD rental assistance contract. HUD’s mortgage file marks 233 loans (28.9%) as low-income housing tax credit properties and 104 as tax-exempt bond financed.
What stands out in Illinois
- Section 232 healthcare loans make up 39.0% of active loans in Illinois, compared with 25.7% for the national portfolio.
- 223(f) purchase and refinance loans make up 27.8% of active loans in Illinois, compared with 36.3% for the national portfolio.
- HUD’s file flags 28.9% of Illinois’s loans as tax-credit (LIHTC) properties, versus 21.2% for the national portfolio.
- 223(a)(7) refinances make up 9.6% of active loans in Illinois, compared with 13.7% for the national portfolio.
- The balance-weighted note rate in Illinois is 3.77%, 0.18 percentage points below the national portfolio (3.95%).
The bridge-to-HUD angle in Illinois
HUD’s production database shows 120 apartment loans in Illinois reaching initial endorsement from FY2022 through FY2026 ($1.8 billion). FY2026 produced 16, down from 25 in FY2024. 50 of them were 223(f) purchase or refinance loans, each of which either funded an acquisition or replaced other debt such as a bank, CMBS, construction or bridge loan.
Because 65% of the existing HUD loans here carry rates below 4.00%, few current HUD borrowers in Illinois have a rate reason to refinance. New HUD volume depends mostly on properties that come to HUD from other debt, which is where a bridge loan sized to a HUD exit fits.
58 loans in Illinois carry note rates of 6.00% or higher. For those borrowers the streamlined option is a 223(a)(7) refinance when permanent rates allow; Bravo’s 223(a)(7) guide covers eligibility and process.
Healthcare is a large part of the market: 39% of active loans in Illinois are Section 232. Operator transitions and turnaround periods are the usual reasons a skilled nursing or assisted living facility uses a bridge loan before a Section 232 refinance.
For a transaction-specific view, Bravo Capital reviews bridge-to-HUD and HUD 223(f) requests through its loan inquiry.
More HUD data for Illinois
Data source and method
Data source: HUD Insured Multifamily Mortgages (active), file FHA-BF90-RM-A, as of the October 2026 release (loans endorsed through September 29, 2026); HUD FHA Multifamily Firm Commitments and Endorsements Database (FY2001 to Q4 FY2026, data run October 8, 2026); HUD Insured Multifamily Properties, HUD Open Data (updated October 6, 2026) for metro area and Section 8 flags. Aggregates computed by Bravo Capital; no owner or contact information is used.
Balances are HUD’s reported amortized principal balance. Interest rates are note rates as reported by HUD (mortgage insurance premium not included), and the average shown is weighted by balance. Metro areas use HUD’s Core Based Statistical Area assignment for each property. “Holder” is the holder of record in HUD’s file, which is often the servicer or Ginnie Mae issuer rather than the original lender. Initial endorsement counts come from HUD’s multifamily production database, which covers apartment programs and does not include Section 232 healthcare loans.
Common questions
Frequently asked questions
How many HUD multifamily loans are active in Illinois?
HUD’s active insured mortgage file lists 806 FHA-insured multifamily and healthcare loans in Illinois with $8.2 billion of amortized principal balance, covering 111,097 units or beds, as of the October 2026 release.
What interest rates do HUD loans in Illinois carry?
The balance-weighted note rate is 3.77%. The most common band is Under 3.00% (32.3% of loans), and 7.2% of loans carry rates of 6.00% or higher. Rates exclude the mortgage insurance premium.
Who holds the most HUD loans in Illinois?
Merchants Capital Corp. is holder of record on 106 loans (13.2%) in HUD’s file. The holder of record is often the servicer or Ginnie Mae issuer, which can differ from the lender that originated the loan.
How much HUD debt in Illinois matures soon?
11 loans (1.4%) mature by the end of 2031. Most HUD loans are fully amortizing over 35 to 40 years, so maturities are spread thinly and refinancing is usually driven by rates, cash-out needs or a sale rather than a maturity date.
Created by Bravo Capital, a HUD-approved MAP and LEAN lender, and expert-reviewed by the Bravo Capital HUD Underwriting Team. Figures are computed from HUD public data files listed above. Last updated . This page is educational and is not a credit decision or commitment to lend.