MI SB1123

Authorizes the state housing development authority to make loans for multifamily housing projects meeting federal income limits under Internal Revenue Code section 142, with remaining units available without income restrictions.

Permits the authority to establish higher income limits by resolution if owners make reasonable rental efforts but cannot maintain 95% occupancy at the originally-applicable income levels.

Allows loans up to 90% of project costs for multifamily housing, with project cost definition including builder fees up to 5%, developer overhead and fee of 5%, furnishings, and sponsor's risk allowance of 10%.

Enables the authority to make loans for 1- to 4-unit housing purchases with borrower income limits based on Internal Revenue Code section 143 and purchase price caps of $224,500 (1-2 family), $261,625 (3-family), and $299,000 (4-family), with a maximum $3,500 increase for disabled adaptations.

Prohibits the authority from making new refinancing loans to individual purchasers after April 3, 2011, and allows securitization and sale of loans made under expanded lending authority with purchase prices matching the greatest limits set by Fannie Mae, Freddie Mac, and Ginnie Mae.