What is a Pro Forma?

Pro Formas and the HUD 221(d)(4) Loan Program

Pro forma is a method of calculating financial results which emphasizes current or projected figures. Pro forma financial statements are commonly used to determine the potential viability of a real estate investment, as well as to show potential investors who may be interested in putting money into a project. Pro forma operating budgets are often one of the most important documents in a loan package, as they give a lender an idea of what your property’s expenses will look like, especially when compared to the property’s projected income.

To create your own pro forma operating budget for a HUD 221(d)(4) loan application, check out our detailed operating statement and underwriting analysis.


To learn more about HUD multifamily construction loans like the HUD 221(d)(4) loan, fill out the form below and a HUD lending expert will get in touch.