Total $1,900,000
HUD Multifamily Accelerated Processing (MAP) Guide, HUD Handbook 4430.G (2020 ed., rev. Mar. 19, 2021) · 2026 edition · updated 2026-10-05 · United States
This total would be disallowed, as the $1.9 million exceeds the 25% of total equity ($1.875 million) allowed. Accordingly, it is reduced by $25,000 in the following calculations.
C. Net Equity is the Balance, after Total Equity is reduced by Payment #1, and the Allowed Deductions of $1,875,000, or $4,125,000. This number would be adjusted if the owner were to claim less than the maximum Allowed Deductions.
| Payment | Description | Formula | Amount |
|---|---|---|---|
| Equity Pay In #1a | 20% of Total Equity | 20% x $7,500,000 | $1,500,000 |
| Equity Pay In #2 | 37.5% of Net Equity ($4,125,000) | 37.5% x $4,125,000 | $1,546,875 |
| Equity Pay In #3 | 62.5% of Net Equity ($4,125,000) | 62.5% x $4,125,000 | $2,578,125 |
D. There is no change in the computation to determine the cash requirements and/or front money escrow on form HUD 92264-A. The remaining cash requirements not being satisfied with LIHTC equity will be satisfied in accordance with outstanding instructions. The Borrower must pay out-of-pocket when there is no available cash from mortgage proceeds or other committed sources.
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