Recurring Gifts

Acceptable forms of verification:

1. Notarized statement or affidavit signed by the person providing the assistance. It must give the purpose, dates and value of gifts.

2. Applicant's notarized statement or affidavit that provides the purpose, dates and value of gifts.

• J. Family Assets Now Held

  • 1. Relevant information to verify with third party:

For non-liquid assets, collect enough information to determine the current cash value—the net amount the family would receive if the asset were converted to cash. (See paragraph 5.7.)

• a. Type of account;

• b. Current balance or, for checking accounts, the average balance for the last six months;

• c. Date account opened;

• d. Date account closed;

• e. Is this an interest bearing account? If so, what is the interest rate?

• f. For trusts:

  • (1) What is the value of the trust fund?

  • (2) What is the anticipated amount of income to be earned by the trust over the next 12 months?

  • (3) What is the amount anticipated to be distributed over the next 12 months?

g, For property, what is the equity value?

• 2. Acceptable forms of verification:

HUD Occupancy Handbook Appendix 6-C: Guidance About Types of Information to Request When Verifying Eligibility and Income

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Appendix 6-C

4350.3 REV-1

• a. Verification forms, letters, or documents from a financial institution, broker, etc.;

NOTE: When financial institutions charge a fee to the applicant or tenant for providing verifications, the forms of verification in paragraph b) below would be the preferred method.

• b. Account statements, passbooks, broker's quarterly statements showing value of stocks or bonds, etc., and the earnings credited to the applicant’s account statements, or financial statements completed by a financial institution or broker;

NOTE: The owner must adjust the information provided by the financial institution to project earnings expected for the next 12 months.

• c. Quotes from a stockbroker or realty agent as to net amount family would receive if they liquidated securities or real estate;

• d. Copy of IRS Form 1099 prepared by the financial institution showing the amount of income provided by the asset;

• e. Real estate tax statements if tax authority uses approximately market value;

• f. Copies of closing documents showing the selling price, the distribution of the sales proceeds and the net amount to the individual;

• g. Appraisals of personal property held as an investment; and

• h. Applicant's notarized statements or signed affidavits describing assets or verifying cash held at the applicant's home or in safe deposit boxes.