19.1.3.1 Administrative Clearance to Close

HUD Multifamily Accelerated Processing (MAP) Guide, HUD Handbook 4430.G (2020 ed., rev. Mar. 19, 2021) · 2026 edition · updated 2026-07-29 · United States

A. On or before the confirmed closing date, the RC Director will provide the HUD Closing Attorney with administrative clearance to close the Loan, either by written memorandum or email. The RC Director’s administrative clearance will include the following confirmations:

All special conditions of the Firm Commitment have been met;
The Loan is ready to be closed;
The documents submitted to the RC Director for the closing were fully examined and approved; and
The Firm Commitment is current.

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▸ Contents — HUD Multifamily Accelerated Processing (MAP) Guide, HUD Handbook 4430.G (2020 ed., rev. Mar. 19, 2021)

HUD Multifamily Accelerated Processing (MAP) Guide, HUD Handbook 4430.G (2020 ed., rev. Mar. 19, 2021)

Revision March 19, 2021 Office of the Assistant Secretary for …
Table of Contents
Index
Chapter 1 Introduction
1.1 Multifamily Accelerated Processing Guide
1.2 Purposes of MAP
1.3.1 Lender Qualifications and Monitoring
1.3.2 Programs Covered by MAP
1.3.3 Application Processing
1.3.4 Construction Responsibilities
1.3.5 Servicing
1.4 Regulations, Policies, and the MAP Guide
1.5 Workload Management
Chapter 2 Lender Qualifications and Practices
2.1 Introduction
2.2 HUD Approval of Lenders
2.3 Lender Standards
2.4 Loan Consultants, Correspondents, or Mortgage Brokers
2.5 Underwriting and Construction Administration 2.5.1 Underwr…
2.5.2 Construction Administrator Duties
2.5.3 Underwriting and Construction– HUD’s Role
2.5.4 Electronic Communications
2.6.1 Introduction
2.6.2 Definitions
2.6.3 Identity of Interest - General
2.6.4.1 Lender Owned FHA-Insured Properties
2.6.4.2 Secondary Financing Relationships
2.6.4.3 Bridge Loans and Balance Sheet Loans
2.6.4.4 Lenders with Tax Credit Equity Affiliates
2.6.4.5 Lender’s Consultants, Correspondents, or Mortgage Brok…
2.6.4.6 Other Lender Conflicts
2.6.4.7 Prohibited Practices - Inducements
2.6.4.8 Prohibited Practices - Gifts
2.6.4.9 Prohibited Practices - Charitable Donations
2.6.5.1 In General
2.6.5.2 IOI Discovered Before Processing
2.6.5.3 IOI Discovered During Processing
2.6.5.4 IOI Discovered After Firm Commitment
2.6.6 Certification
2.6.7 Syndicator or Investor Influence
2.7 New MAP Lender Application Package
2.8 Limitations and Notices
2.9 Quality Control, Records and Monitoring
2.10 Underwriters – HUD Approval
2.10.1 MAP Underwriters
2.10.2 Chief Underwriters
2.10.3 Deputy Chief Underwriters
2.11 Underwriter Trainees
2.12 MAP Underwriter Transfers
Chapter 3 Programs
3.1 General Program Requirements
3.1.1 Regulatory Agreement
3.1.2 Single Asset Mortgagor Entity
3.1.3 Non-Recourse
3.1.4 Interest Rate
3.1.5 Amortization Plan
3.1.6 Loan Terms
3.1.7 Prepayment Restrictions
3.1.8 HUD Application Fee
3.1.9 HUD inspection Fee
3.1.10 Mortgage Insurance Premium
3.1.11 Lender Fees and Charges
3.1.12 Definition of Affordable Housing
3.1.13 Fair Housing and Equal Opportunity
3.1.14 Previous Participation
3.1.15 HUD's Fiscal Procedures
3.1.16 Bridge or Gap Financing
3.1.17 Secondary Financing
3.1.18 Statutory Loan Limits
3.1.19 Tax Increment Financing
3.1.20 Commercial Space
3.1.21 Military Impacted Areas
3.1.22 Student Housing
3.1.23 Real Estate Requirements
3.1.24 Transient Housing/Hotel Services Prohibition
3.1.25 Sustaining Occupancy
3.1.26 Operating Deficit
3.1.27 Short-Term Lease Premiums
3.1.28 Replacement Reserve
3.1.29 Developer Fees
3.1.30 Scattered Sites
3.1.31 Condominiums
3.1.32 Environmental Review
3.1.33 Underwritten Vacancy and Collection Loss
3.1.34 Borrower’s Certifications
3.1.35 Waivers
3.1.36 Opportunity Zones
3.2 New Construction/Substantial Rehabilitation Program Requir…
3.2.1 Properties
3.2.2 Insurance for Construction and Permanent Loan Periods
3.2.3 New Construction Transactions
3.2.4 Substantial Rehabilitation Transactions
3.2.5 Cost Certification
3.2.6 Federal Labor Standards
3.2.7 Assurance of Completion
3.2.8 Absorption Period
3.2.9 Marketing and Leasing Plan
3.2.10 Working Capital Escrow
3.2.11 Furniture, Fixture, and Equipment in Cost Basis
3.2.12 Elderly Developments
3.2.13 Occupancy Preference
3.2.14 Builder and Sponsor Profit and Risk Allowance (BSPRA)
3.2.15 Energy Efficiency
3.2.16 Cost vs. Value
3.3 Section 221(d)(4)–New Construction and Substantial Rehabil…
3.3.1 Criterion 1
3.3.2 Criterion 3
3.3.3 Criterion 4
3.3.4 Criterion 5
3.4 Section 220 Mortgage Insurance for Redevelopment Areas
3.4.1 Eligible Areas
3.4.2 Commercial Facilities
3.4.3 Maximum Loan Ratios and DSCRs
3.4.4 Builder and Sponsor Profit and Risk Allowance (BSPRA)
3.4.5 Sponsor Profit and Risk Allowance (SPRA)
3.4.6 Age Restriction Prohibited
3.5 Section 231 Mortgage Insurance
3.5.1 Definitions
3.5.2 Design and Amenities
3.5.3 BSPRA or SPRA allowances
3.5.4 Maximum Loan Ratios and DCRs
3.6.1 Eligibility
3.6.2 Term
3.6.3 Equity Requirement and Controlling Mortgage Criteria
3.6.3.1 Criterion 3–Loan to Value/Cost
3.6.3.2 Criterion 4–Statutory Limits
3.6.3.3 Criterion 5–Debt Service Coverage Ratio (DSCR)
3.6.4 CNAs, Plans and Cost Estimates
3.6.5 Davis-Bacon Act Applicability
3.6.6 Insurance of Advances or Insurance upon Completion
3.6.7 Environmental Review
3.6.8 Working Capital and Operating Deficit Reserves
3.6.9 Management Exhibits
3.6.10 Multiple Lenders
3.6.11 MIP
3.7.1 General Requirements
3.7.2 Eligible Properties
3.7.3 Ineligible properties
3.7.4 Additional Section 223(f) Requirements
3.7.5 Repairs
3.7.6 Accessibility Requirements
3.7.7 Age Restricted Projects
3.7.8 Defaults, Claims, or Enforcement Referrals
3.7.9 Labor Standards
3.7.10 Prepayment Provisions and Prohibition
3.7.11 Maximum Loan and Debt Service Coverage Ratios (DSCR)
3.7.11.1 Section 223(f) Refinance and Acquisition Processing
3.7.12 For Cash Out/Equity Out Proceeds When Repairs are Defer…
3.7.13 Capitalization Rates and Determination of Value
3.7.14 Statutory Loan Limits
3.7.15 Cost Not Attributable to Dwelling Space
3.7.16 Reserve for Replacements (RfR)
3.7.17 Secondary Financing
3.7.18 Commercial Space
3.7.19 Real Estate Requirements
3.7.20 Mortgage Term
3.7.21 Firm Commitment Processing Only
3.7.22 Market Study
3.7.23.1 Discounts and/or Costs of Issuance
3.7.23.2 Defeasance Costs Associated with Underlying Bond Fina…
3.8 Section 223(a)(7) Refinancing
3.8.1 Eligibility
3.8.2 Terms
3.8.3 Controlling Mortgage Criteria
3.8.4 Lender Fees
3.8.5 Borrower Fees
3.8.6 CNA
3.8.7 Other Issues
3.9.1 Insurance During Construction
3.9.2 Permanent Insurance
3.9.2.1 Public Liability Insurance
3.9.2.2 Vehicle Liability Insurance
3.9.2.3 Flood insurance
3.9.2.4 Casualty Insurance
3.9.3 Other Insurance Requirements
3.10.1 Purpose
3.10.2 Underwriting Ratios for Large Loans
3.10.3 Increased Reserves for Large Loans
Loan size Reserve amount shall be the greater of
3.10.4 Extended Lease-Up Period
3.10.5 Higher Net Worth and Liquidity
3.11.1 Restrictions Authorized by Statute
3.11.1.1 Restrictions Allowed by HUD Statutory Authority
3.11.1.2 Housing for Persons Age 55+ (55+ Exemption)
3.11.1.3 Housing Restricted to Persons Age 62+
3.11.1.4 Other Fair Housing Act Exemptions
3.11.2 Age Restriction in Certain Projects and Programs
3.11.2.1 Market Rate Projects
3.11.2.2 Affordable Projects and 55+ Exemption
3.11.2.3 Section 231 Projects, both Market Rate and Affordable…
3.11.3.1 Services
3.11.3.2 Meals Service Exceptions
3.11.3.3 Prohibition on Founder’s Fees
3.11.3.4 Guest Suites
3.12.1 Relocation-General
3.12.2 Projects with Federal Assistance
3.12.3 Projects with No Federal Assistance
3.12.4 Relocation Costs on HUD Forms
Chapter 4 Application Processing
4.1 Introduction/General
4.1.1 Approval of Lender's Reviewers
4.2.1.1 Concept Meetings
4.2.1.2 HUD Response
4.2.1.3 Firm Commitment Application Submissions
4.2.1.4 Firm Commitment Issuance
4.2.1.5 Firm Commitment Acceptance and Rate Lock
4.2.1.6 Closing
4.2.2.1 Concept Meetings
4.2.2.2 Pre-Application Stage
4.2.2.3 Invitation Letters
4.2.2.4 Firm Commitment
4.2.2.5 Closing
4.2.2.6 Construction Period
4.2.3 Appeals
4.3.1 General Requirements
4.3.2 Processing
4.4.1 General Requirements
4.4.2 Processing
4.4.3 Construction Period Responsibilities
4.4.4 Servicing
Chapter 5 Architectural and Construction Analysis
5.1 Eligible Construction Activities
5.1.1 New Construction
5.1.2 Substantial Rehabilitation
5.1.3 Class of Work
5.1.4 Defining Construction Activities
5.1.5 Eligible Construction by Program
5.2 Consultant Due Diligence Responsibilities
5.2.1 General
5.2.2.1 Needs Assessor Qualifications
5.2.2.2 Needs Assessor Responsibilities
5.2.2.3 Construction Analysts Qualifications
5.2.2.4 Construction Analyst Responsibilities
5.2.3.1 Project Architect Qualifications
5.2.3.2 Project Architect Duties and Responsibilities
5.2.3.3 Owner-Architect Agreement for Services
5.2.3.4 Project Architect as Owner’s Representative
5.2.4 Other Technical Specialists
5.2.5 HUD Approval of Qualifications
5.3 Requirements by Construction Activity and Program
5.3.1 General
5.3.2.1 Scope of Work
5.3.2.2 Construction Costs
5.3.2.3 Schedule
5.3.3.1 When Project Architects are Required
5.3.3.2 When General Contractors are Required
5.3.3.3 Licensed Trades
5.3.3.4 Scope of Work
5.3.3.5 Construction Costs
5.3.3.6 Schedule
5.3.4.1 Scope of Work
5.3.4.2 Construction Costs
5.3.4.3 Schedule
5.4 Architectural and Other Building Standards
5.5.1 New Construction and Substantial Rehabilitation
5.5.2 Section 223(f) Transactions
5.6.1 Eligibility for Streamlined Processing [12]
5.6.2 Section 223(f) with new LIHTC Applications
5.6.3 Documentation at Firm Commitment
5.6.4 Requirements for Issuing a Firm Commitment
5.6.5 Modifications to the Firm Commitment
5.6.6 Risks Related to Deferred Document Submission
5.7.1 Concept Meeting
5.7.2 Pre-Application
5.7.3 Firm Commitment Application
5.7.4 Special Considerations for Industrialized Housing
5.8.1 Plans and Specifications Revisions
5.8.2 Major Changes
5.8.3 Construction Documents
5.8.4 Recommendation for Initial Endorsement
5.8.5 Distribution of Drawings and Specifications
5.8.6 Early Start of Construction
5.9 Substantial Rehabilitation Processing through Initial Endo…
5.9.1 Concept Meeting
5.9.2 Pre-Application
5.9.3 Firm Commitment Application
5.9.4 Firm Commitment to Initial Endorsement
5.10 Standard Processing for Section 223(a)(7) and 223(f)
5.10.1 Architectural Standards
5.10.2 Concept Meetings
5.10.3 Capital Needs Assessment
5.10.4 Lender’s Review of Costs
5.10.5 Certification
5.10.6 Firm Commitment
5.10.7 Time for Completion of Repairs
5.10.8 Escrow Agreement for Deferred Repairs
5.10.9 Completion of Repairs and Alterations
5.11.1 Supplemental Loan for New Construction
5.11.2 Supplemental Loan for Existing Structures
5.12 Cost Estimating for Lenders
5.12.1 Estimation Method
5.12.2 Cost Categories
5.12.3 Allowances and Fees
5.12.4 Builder’s and Sponsor’s Profit and Risk Allowance (BSPRA)
5.12.5 Construction Time
5.13 CNAs are Required for All Applications
5.14.1 Detailed Cost Estimate
5.14.2 Substantial Rehabilitation Costs
5.14.3 Refinance/Acquisition Costs
5.15.1 HUD Underwriting Assignment
5.15.2 CNA e-Tool and HUD Underwriting
5.15.3 Instructions and Training for Users
5.15.4 Consultation and Review Timeliness
Chapter 6 Energy and Water Conservation
6.1 Purpose and Summary Requirements
6.1.1 New Construction and Substantial Rehabilitation Standards
6.1.2 Incentives for Improved Building Performance
6.2 Statutes and Regulations
6.3 Green Building Certifications Specifications Recognized fo…
6.3.1 New Construction and Substantial Rehabilitation Certific…
6.3.2 Certifications for Existing Buildings
6.3.3 Certifications Not Recognized by HUD
6.4 General Requirements for Green MIP
6.4.1 Continuing Performance Required under Green MIP
6.4.2 ENERGY STAR® Appliances and High-Performance Components
6.4.3 HUD Forms – Borrower’s Certifications
6.4.4 Regulatory Agreement Rider 5 Required for Green MIP
6.4.5 Data Collection Plan
6.4.6 Real-Time Consumption Monitoring, Smart Home Tools
6.4.7 Design and Construction Team Qualifications
6.4.8 Energy Professionals Qualifications
6.4.9 Energy Modeling and Modeling Software
6.4.10 Change Orders Modifying Energy Measures
6.5 Requirements for Section 223(a)(7) Applications
6.5.1 Existing Green MIP Mortgages
6.5.2 Proving Continuing Performance Under ENERGY STAR® Existi…
6.5.3 Delivery of ENERGY STAR® Existing Building Certification
6.5.4 Recording Baseline Data - CNA
6.6 Green MIP Requirements for Section 223(f) Applications
6.6.1 Properties with Previously Earned Certifications
6.6.2 Newly Built Properties with No Prior Certification
6.6.3 Existing Properties with No Prior HUD Recognized Green B…
6.7 Green MIP Requirements for Sections 220, 221(d)(4), 231-Ne…
6.7.1 ENERGY STAR® Appliances and Systems Required
6.7.2 Project Architect’s Green MIP Responsibilities
6.7.3 Recording Baseline Data-CNA
6.8 Green MIP Requirements for Section 241(a)
6.9 Underwriting Owner’s Utility Cost as Part of Operating Exp…
6.9.1 Methods for Underwriting Owner’s Utility Costs Changes
6.9.2 Underwriting Owner Utility Operating Expense for New Pro…
6.9.3 CAUTION: Changed Energy Use Not Proportionate to Resulti…
Chapter 7 Valuation & Market Analysis
7.1 Introduction
7.2 Selection of Appraisers and Market Analysts
7.3.1 Appraiser Qualifications
7.3.2 Market Analyst Qualifications
7.4 Valuation Reviews of Third-Party Reports
7.5.1 Purpose and Focus of the Study
7.5.2 Effective Date
7.5.3 Forecast Period for Market Study
7.5.4 Project Rents Used in Market Study
7.5.5 HUD as an Intended User
7.5.6 Executive Summary
7.5.7 Description of the Proposed Project
7.5.8 Primary Market Area
7.5.9 Economic Context
7.5.10 Demographic Analysis
7.5.11 Current Housing Market Conditions
7.5.12 Rental Units in the Pipeline
7.5.13.1 Net Demand Analysis
7.5.13.2 Effective Demand
7.5.13.3 Evaluation of Net Demand and Effective Demand
7.5.13.4 Demand for LIHTC Projects
7.5.14 Findings and Conclusions
A. According to USPAP Advisory Opinion 14:
7.5.16 Data, Estimates, and Forecasts
7.6 Appraisal Requirements
7.6.1 Effective Date
7.6.2 Brevity
7.6.3 Complex or Unusual Appraisal Assignments
7.6.4 HUD Forms to Include in the Report
7.6.5 USPAP Jurisdictional Exception Rule
7.6.6 Occupancy Percentage
7.6.7 Sections 220, 221(d)(4), and 231
7.6.8 Section 223(f)
7.6.8.1 Value for Rent Controlled Properties
7.6.8.2 Cost/ Summation Approach
7.6.8.3 Sales Comparison Approach
7.6.8.4 Income Approach
7.6.9 Reconciliation of the Approaches to Value
7.6.10 Section 231 Substantial Rehabilitation
7.6.11 Remaining Economic Life (REL)
7.6.12 Confidentiality Rule of USPAP
7.6.13 Appraiser’s Certification
7.6.14 Inspection of the Subject and Comparables
7.6.15 Required Appraisal Report Exhibits
7.6.16 Market Analysis
7.7.1 Rental Estimates
7.7.1.1 Rent Comparables
7.7.2 Adjustments
7.7.3 Final Rent Estimate
7.7.4 LIHTC and/or Bond Financed Projects
7.7.5 Trending of Rents
7.7.6 Equipment Included in Rent
7.7.7 Occupancy/Vacancy and Collection Losses
Property Type
7.7.8 Project Rent Concessions
7.7.9 Occupancy
7.7.10 Utilities/Services
7.7.11 Project Location, Amenities, and Other Factors
7.7.12.1 Ancillary Income
7.7.12.2 Resale/Submetering of Utilities
7.7.12.3 Resale of Internet and Media Services
7.7.12.4 Cell Tower Income
7.7.12.5 Short-Term Lease Premiums
7.7.12.6 Corporate Leases
7.7.12.7 Pool and Pet Fees
7.7.12.8 Ineligible Income
7.7.12.9 Commercial Income
income collected under the contract if it is a fixed monthly p…
Commercial Space and Income Limitations
7.7.13 Limited Waiver of Commercial Income and Space Limits
7.7.14 Commercial Space Valuation
7.8.1 Purpose
7.8.2 Sources of Expense Data
7.8.3 General
7.8.4 Estimate of Operating Expenses by Units of Comparison
7.8.5 Expense Comparables
7.8.6 Expense Adjustments
7.8.7 Updating Procedures
7.8.8 Consistent Expense Line Items
7.8.9 Underwritten NOI and Program Guidance
7.9 Site Analysis
7.9.1 Analysis of Location
7.9.2 Specific Location
7.9.3 Civic, Social, and Commercial Centers
7.9.3.1 Schools
7.9.3.2 Neighborhood Shopping
7.9.3.3 Religious and Recreation Centers
7.9.4 Transportation
7.9.5 Special Hazards and Nuisances
7.9.6 Parking Facilities
7.9.7 Site Suitability
7.9.8 Land/Site Valuation
7.9.9 Warehousing of “Excess” Land Area
7.10.1 Lender’s Responsibilities
7.11.1 Lender’s Responsibilities
7.11.2 HUD Review
7.12.1 Lender’s Responsibilities
7.13.1 General
7.13.2 Completing Form HUD-92264
7.13.3 Applicable Approaches for "As Is" Value
7.13.4 Valuation for 220 and 221(d)(4)
7.13.5 Valuation for Section 231 Substantial Rehabilitation
7.13.6 Valuation for RAD Transactions
7.13.7 Contingency Reserves
7.13.8 Interest During Construction
7.13.9 Inspection Fee
7.13.10 Offsite Costs
7.13.11 Rehabilitation Cost not Attributable to Residential Use
7.13.12 Developer’s Fee, when Applicable
7.13.13 Exclusions to Estimated Replacement Cost
7.14.1 Estimate of a Project’s Operating Deficit
7.15 Leaseholds/Ground Leases
7.15.1 Definitions
J. Operating Expenses. See Section 7.7.
7.15.2 Legal Requirements
7.15.3.1 Acceptable Form of Ground Rent Computation
7.15.3.2 Unacceptable Lease Payments (Ground Rent)
7.15.3.3 Ground Rent During Construction
7.15.4 Valuation of the Leasehold Estate
7.15.5 Rehabilitation of an Existing Project
7.15.6 Maximum Mortgage Amount for Criterion 3
7.15.7 Fee-Joinders
7.16.1 General Comments and Exceptions
7.16.2 Full Term Tax Abatement
7.16.3 Partial Term or Variable Tax Abatement
7.16.4 Deferral of Real Estate Taxes
7.17.1 For Section 223(f)
7.17.1.1 Criterion 3 Market Value
7.17.1.2 Criterion 5 Debt Service Analysis
7.17.1.3 Form HUD-92264T for LIHTC Projects without Section 8
7.17.1.4 Form HUD-92264T for Section 8 Project-Based Assistanc…
7.17.1.5 Form HUD-92264T for Section 8 Project-Based Assistanc…
7.17.2 Fee Income
7.17.3 Income Limits
7.17.4 Expenses/Fees
7.18.1 Scope of Work
7.18.2 Jurisdictional Exception Rule
7.18.3 Record Keeping Rule
7.18.4 Loan Committee
7.18.5 Workload Sharing
7.18.6 Consultations with Other Staff
7.18.7 Environmental Processing
7.18.8 Technical Appraisal Review Requirements
7.18.9 Documentation of the Appraisal Review
Chapter 8 Mortgage Credit
8.1 Introduction
8.2 Borrower Types – Single Asset Borrower Entity
8.3 Reviewing Principals and Other Parties in Control
8.3.1 Determining Principals and Who is in Control
B. “Principals” may include any of the following:
8.3.2 Underwriting Active Principals and Those with Control
8.3.3 Previous Participation Certification Requirements
8.3.4 Nonprofit Principals
8.3.5 Foreign National Participation in FHA-Insured Multifamil…
Definition of Principal for Regulatory Agreement Section 50
8.4 Investigating Credit and Character
8.4.1 Use of Credit Reports and Credit Investigation
8.4.2 Lender’s Review of the Credit Report
8.4.3 Delinquent Federal Debt, Judgments and Pending Litigation
8.4.4 Trade and Credit References
8.4.5 Rejection Due to Unacceptable Character and Credit
8.5.1 Financial Statement Analysis
8.5.1.1 Submission of Financial Statements–New Construction
8.5.1.2 Existing Project Financial Statements
8.5.1.3 Review of Financial Statements and Other Documents
B. Exceptions:
8.5.1.4 Letters and Lines of Credit
8.5.1.5 Sponsor’s Continuing Commitments
8.5.1.6 General Contractor with Adequate Capital
8.5.1.7 LIHTC, Historic Tax Credit or New Market Tax Credit Tr…
8.5.1.8 Real Estate Owned Schedule and Mortgage Debt Schedule
8.6.1.1 Purpose
8.6.2 Principal Types
8.6.3 Threshold
8.6.4 Threshold Applies to Current and Expected Balance
8.6.5 Effective Date and Duration
8.6.6 Lender Submission and Procedure
8.7 Secondary Financing
8.7.1 Public Sources
8.7.2 Private Sources – Section 223(f)
NOTE: Project-specific exceptions or waivers to these policies…
8.7.3 Private Source – New Construction/Substantial Rehab
8.7.4 Section 223(a)(7) Refinance Program
8.7.5 Condition for Repayment of Secondary Financing
8.7.6 Secured Public Secondary Financing Conditions
8.7.7 Unsecured Private Secondary Financing Conditions
8.7.8 Tax Credit Equity Bridge Loans
8.8 Application Exhibits and Responsibilities
8.8.1 General Responsibilities of Lender’s Underwriter
8.8.2 Additional Exhibits Required of Project Participants
8.8.3 Evaluating Nonprofit Sponsors and Borrowers
8.8.4 Credit Review of a Nonprofit Sponsor and Borrower
8.8.5 Nonprofit Developer Fees
8.8.6 Consultant Fees
8.8.7 Establishing a Profit-Motivated Borrower Entity
8.8.8 Lender’s Review and Recommendation
8.8.9 Mortgage Credit Duties of HUD
8.9.1 Sections 220, 221(d)(4), 241(a) and 231 Projects
8.9.2 Section 207 Pursuant to 223(f) Projects
8.9.3 Section 223(a)(7) Projects
8.10.1 Mortgage Amounts and Cash Requirements
8.11.1 Determining Mortgage Amounts, Cash Requirements, and Re…
B. Identity of Interest Purchase Transaction . Refer to Chapte…
8.12.1 General
8.12.2 Application for Mortgage Insurance
8.12.3.1 Firm Commitment
8.12.3.2 Initial Endorsement
8.12.3.3 Grant and Loan Proceeds Must be Advanced
8.12.4 Grants and Loans from a Non-Governmental Source
B. Initial Endorsement.
8.13 Insurance Upon Completion
8.14 Determining Cash Requirements for Completion
8.15.1 Review of Financing Documents
8.15.2 Loan Rates
8.15.3 Tax-Exempt Loans and/or Bonds
8.15.4 Itemized Statement of Costs
8.15.5.1 Prepayment of Note
8.15.5.2 State/Local Occupancy Use and/or Rent Restrictions
8.15.6 Pre-Cost Certification Conference Information
Chapter 9 Environmental Review and Requirements
9.1 Introduction
9.1.1 Legal Authorities, Guidance, Standards, and Documentation
9.1.2 Project Description, Aggregation, and Extent of Review
9.1.3 Levels of Environmental Review
9.1.4 Local, State, Tribal or Federal Requirements
9.2.1 Lender Responsibilities and Limitations
9.2.2 HUD Responsibilities
9.2.3 Timing Considerations
9.2.4 Verifying Qualifications of Professionals
9.2.5 Consulting with Regional or Satellite Offices
9.3 HEROS Environmental Reports
9.4 Contamination and Toxic Substances
9.4.1 Phase I Environmental Site Assessment Requirements
9.4.2 Phase II Environmental Site Assessment Requirements
9.4.3 Remediation Response Planning
9.4.4 Remediation Plans with Complete Removal of Contamination
9.4.5 Remediation Plans with Incomplete Removal of Contamination
9.4.6 Monitoring Wells, Flushing Wells, and Testing Wells 9.4.…
9.4.6.2 Monitoring Well Protocols
9.4.6.3 Monitoring Wells for Off-site Contamination
9.4.6.4 Flushing Wells
9.4.6.5 Testing or Monitoring Wells Ordered by LSTF
9.4.6.6 Non-operating Wells
9.4.7 Off-Site Contamination
9.4.8 Escrow
9.4.9 Waivers
9.4.10 LSTF Approvals and Reviews
9.4.11 Superfund Sites
9.4.11.1 Superfund National Priority List (NPL) Sites
9.4.11.2 Superfund Sites Not on the NPL
9.4.11.3 EC/IC Put in Place by EPA
9.4.12 Unacceptable Sites
9.4.13 Underground Storage Tanks Not Regulated by the LSTF
9.5.1 General Responsibilities
9.5.2 Projects with Complete Removal of Site Contamination 9.5…
9.5.2.2 Architecture/Engineering and Cost
9.5.2.3 Mortgage Credit
9.5.3 Projects with Incomplete Removal of Site Contamination
9.5.4 Insurance and Guarantee Requirements
9.5.5 Management, Coordination, and Communication
9.6.1 Lead-Based Paint (24 CFR Part 35.115(a))
9.6.2 Asbestos (24 CFR 50.3(i))
9.6.3.1 Background
A. Radon Report :
B. Radon Professionals :
C. Exceptions to a Radon Report :
D. Testing Protocols :
E. Occupant Notification :
F. Mitigation Standards :
G. Mitigation Timing :
H. Certificate of completion :
I. Operation and Maintenance Plans :
J. Existing Mitigation Systems :
K. Cost estimates :
9.6.3.3 Requirements for Section 223(f) Projects
9.6.3.4 Requirements for Substantial Rehabilitation and Conver…
9.6.3.5 Requirements for New Construction
9.6.4 Historic Preservation (24 CFR 50.4(a))
9.6.5 Floodplain Management (24 CFR 50.4(b)(2))
9.6.6 Flood Insurance (24 CFR 50.4(b)(1))
9.6.7 Wetlands Protection (24 CFR 50.4(b)(3))
9.6.8 Noise Abatement and Control (24 CFR Part 51, Subpart B)
9.6.9 Explosive and Flammable Hazards (24 CFR Part 51 Subpart C)
9.6.10 Air Quality (24 CFR 50.4(h))
9.6.11 Airport Hazards (24 CFR Part 51 Subpart D)
9.6.12 Coastal Barrier Resources (24 CFR 50.4(c)(1))
9.6.13 Coastal Zone Management (24 CFR 50.4(c)(2))
Endangered Species (24 CFR 50.4(e))
9.6.15 Farmlands Protection (24 CFR 50.4(j))
9.6.16 Sole Source Aquifers (24 CFR 50.4(d))
9.6.17 Wild and Scenic Rivers (24 CFR 50.4(f))
9.6.18 Environmental Justice (24 CFR 50.4(l))
9.6.19 Additional Nuisances and Hazards
9.6.20 Environmental Assessments (24 CFR 50 Subpart E)
9.6.21 Operation and Maintenance Plans
Chapter 10 Management Analysis
10.1 Introduction
10.2 Exhibits Required for Firm Commitment
G. Marketing, Leasing, and (if applicable) Relocation Plan :
10.3 Lender Review of Management Documents
10.4 HUD Asset Management Review
10.5 Review of Previous Participation
10.6 Bonding Requirements for Agents
10.7.1 Applicability
10.7.2 Required Contents
10.7.3 Length/term of the Agreement
10.7.4 Management Fee
10.8 Approval of Proposed Management Agent
10.9 Affirmative Fair Housing Marketing
10.10 Management Agents and Escrow Administration
Chapter 11 Lender Underwriting, HUD Review and Closing
11.1 General
11.2 Lender Underwriting
11.2.1 Pre-application
11.2.2 Firm Commitment Application
11.2.3 Third-Party Report Certifications
11.2.4 HUD Forms Submission
11.3.1 HUD Underwriter Responsibilities
11.3.2 Pre-Application and Firm Commitment Processing
11.3.3 Underwriting Recommendation
11.3.4 Firm Commitment Issuance, Extensions, Amendments and Re…
11.3.5 Waivers
11.3.6 Interest Rate Lock
11.4 Program Closing Provisions
11.5 Loan Fees
11.5.1 Deferred Fee Collection
11.5.2 Broker’s Fees
11.6.1 Preliminary Title Report
11.6.2 Air Rights and Other Shared Interest Projects
11.7 Borrower Entity’s Organizational Documents
11.8.1 Term
11.8.2 Prepayment Provisions
11.8.3 Conditions for Including Lockouts and/or Penalties
11.8.4 Late Charge Provisions
11.8.5 Override of Prepayment Lockout
Chapter 12 Construction Period
12.1.1 General
12.1.2 HUD Construction Analyst (CA)
12.1.3 HUD Inspector
12.2.1 General Requirements
12.2.2 Contract Administration
12.2.3 Cost Certification
12.3.1 Purpose of Inspection
12.3.2 Access
12.3.3.1 Assignment
12.3.3.2 Offsite Fabricated Construction
12.3.3.3 Trip Report Review
12.3.3.4 HUD Inspector Oversight
12.3.4 HUD Inspector’s Duties
12.3.4.1 Orientation
12.3.4.2 Facilities
12.3.4.3 Inspections
12.3.4.4 Start of Construction Date
12.3.4.5 Shop Drawings and Other Data
12.3.4.6 Work Stoppage
12.3.4.7 Occupancy
12.3.4.8 Additional Duties of the Inspector
12.3.4.9 Construction Record
12.3.4.10 Projects Insured Upon Completion
12.3.4.11 Off-Site Inspection
12.3.5 Construction Progress Meetings (monthly meetings)
12.3.6 Reporting Serious Construction Problems
12.4.1 General Requirements
12.4.2 Architect's Supplemental Instructions
12.4.3 Architect Administering the Construction Contract
12.5 Architect’s Adequacy
12.5.1 Deficient Administration
12.5.2 Reasons for Termination of Services
12.5.3 HUD Office Actions
12.5.4 Request for Contract Termination
12.5.5 Contract Termination
12.6.1 Substantial Completion
12.6.2 Final 100% Draw Completion Inspection
12.6.3 Warranty Inspections
12.7.1 General
12.7.2 Lender’s Role in Processing Application for Insurance o…
12.7.3 Stages of Advances
12.7.4 Approval of Initial/Interim Advances
12.7.5 Contractor’s Monthly Requisition and Related Matters
12.7.6 Next to Final Advance
12.7.7 Final Advance
12.7.8 Keeping the Mortgage in Balance
12.8.1 General Requirements
12.8.2 Change Order Classification
12.8.3 Additive change Orders
12.8.4 Deductive Change Orders
12.8.5 Changes that Adversely Affect Property Income
12.8.6 Extension of Contract Time
12.8.7 Changes to Items of Delayed Completion
12.8.8 Emergency Changes
12.8.9 Insurance Upon Completion
12.8.10 Changes to Offsite Construction
12.8.11 Other Changes
12.9.1 General Procedure
12.9.2 Voiding Changes
12.9.3 Unapproved Changes
12.10.1 Architectural
12.10.2 Cost
B. Approved time extensions:
12.11.1 Appraisal Reconsideration, When Required
A. Processing:
12.12.1 Wages
12.12.2 Labor Violations
12.12.3 FHEO Noncompliance
12.12.4 Compliance with Any Applicable Relocation Plan
12.13 Surveys
12.14 Permission to Occupy
12.14.1 Physical Completion
12.14.2 Signatures, Approval and Permission
12.14.3 Submission Documents
12.14.4 Partial Occupancy Approval
12.15.1 Application for Disbursement of Escrowed Funds
12.15.2 Release of Letters of Credit
12.15.3 Working Capital Deposit
D. Final Release of Escrow.
12.15.4 Initial Operating Deficit Deposit
12.15.5 Amount of Contractor's Retainage and Release
E. Early partial release of retainage.
12.15.6 Cash-Out Escrow from Land Equity
12.16 Insurance Upon Completion (IUC)
12.17.1 Repairs and Alterations
12.17.1.1 Completion of Repairs and Alterations
12.17.1.2 Payment for Repairs
12.17.1.3 Release of Cash-Out/ Equity from Loan Proceeds
12.17.1.4 Funds Remaining in the Escrow
12.17.2 Inspection
12.17.3 Schedule of Values for Reimbursement from the Repair E…
12.17.4 Final Report
12.17.5 Change Orders
12.17.6 Warranty Inspections
12.17.7 Projects in Difficulty
12.18 Casualty Events During Construction
Chapter 13 Cost Certification
13.1 Projects that Must Certify
13.2 Projects Exempt from Cost Certification
13.2.1 Low Income Housing Tax Credits
13.2.1.1 Audit Fee Not Applicable
13.2.1.2 Establishing Substantial Completion Date
13.2.1.3 Treatment of Operating Income Generated During Constr…
13.2.1.4 Copy of Final Sources and Uses Statement
13.2.1.5 Modification to Form HUD-92580
13.3 Types of Cost Certification
13.4 Entities That Must Cost Certify
13.5 Cost Certification Sequence of Events
13.6 Project Completion and Cut-Off Dates
13.7 Administrative Completion Date
13.8 Submission Date
13.9 Required Forms
13.10 Required Statements and Certifications
13.10.1 Simplified Form of Cost Certification
13.10.2 Long Form Cost Certification
13.10.3 Section 223(f) Projects
13.11 Deficiencies in Cost Certification Submission
13.12 Mortgage Credit Limited Review
13.13 Mortgage Credit Detailed Review
13.14.1 Construction Contract
13.14.2 Architect’s Fee(s)
13.14.3 Interest Accrued
13.14.4 Taxes Accrued
13.14.5 Property Insurance Accrued
13.14.6 Mortgage Insurance Premium
13.14.7 HUD Application, Commitment, and Inspection Fees
13.14.8 Financing Expenses
Exclude:
13.14.9 Title and Recording Expenses
13.14.10 Legal, Organization, and Audit Expenses
13.14.11 Offsite Costs
NOTE:
13.14.12 Other Costs
13.14.13 Builder’s and Sponsor’s Profit and Risk Allowance
13.14.14 Non-Profit Developer Fee
13.15.1 Actual Costs
13.15.2 Mortgage Increase or Detailed Review Not Requested
13.15.3 Cost Review
13.15.4 Lump Sum Construction Contract Cost Certification
13.15.5 Summary of Cost Certification Review (on Form HUD92331)
13.16 Non-Profit Borrower’s Initial Equity Investment
13.17 Determine the Borrower’s Initial Investment
13.18 Section 223(f) Modified Form of Cost Certification
13.19 Special Instructions for Substantial Rehabilitation
13.20 Mortgage Reduction after Cost Certification
13.21 Increase in Mortgage Amount
13.22 Restrictions on Mortgage Increases
13.23 Processing a Mortgage Increase
13.24 Authorization to Reopen Mortgage Transaction
13.25 Deferment of Principal Payments
13.26 Document Distribution
13.27 Office of Inspector General
13.28 Cost Certification Incontestability
13.29 Post-Closing Escrows
13.30.1.1 Advance Amortization Requirements
13.30.1.2 Income and Expense Statement Requirement
13.30.1.2.1 Agreement of Borrower
13.30.1.2.2 Treatment of Items in Statement
13.30.1.3 Amount of Required Prepayment
13.30.1.4 Excess (Unused) Mortgage Loan Proceeds
13.30.2.1 Preparing Form HUD-92580, Maximum Insurable Mortgage
13.30.2.2 Decrease in Loan Amount
13.30.2.3 Increase in Loan Amount
13.30.2.4 Statement of Status of Escrows
13.30.2.5 Borrower’s Investment
13.30.3 Final Closing – Insurance Upon Completion
Chapter 14 LIHTC and Other Tax Credit Programs
14.1 Introduction
14.2 LIHTC Underwriting Guidance
MAP Guide Section Number Content
MAP Guide Section Number Content
Content
14.3 Historic and New Markets Tax Credits
14.4 Subsidy Layering Review
14.5 Evidence of Tax Credit Allocations
14.6 HAP Contract Renewals for Section 8 Projects
14.7 Application/Submission Requirements
14.8 Architecture and Engineering
14.9 Identities of Interest in Tax Credit Transactions
14.10 Mortgage Amounts, Contingency and Escrow
14.11 Structuring of Secondary Debt
14.12.1 Treatment of Developer Fee
14.12.2 Deferred Developer Fee (DDF)
14.13 Tax Credit Equity Pay-In Schedule
Benchmarks for Equity Installments
67,68
14.14 Definition of “Net Equity”
Net Equity = (Total Equity) – (Equity Pay In 1) – (Allowed Ded…
Sample Owner’s Proposed Reductions:
Total $1,900,000
14.15 Equity Bridge Loans in Tax Credit Projects
14.16 Syndicator and Investor Fees from Operations
14.17 Mark to Market (M2M) Transactions
14.18 Firm Commitment Additional Conditions
14.19 Other Matters
14.19.1 Bond-Financed Projects in New York City
14.19.2 Lien Priority
14.19.3 Tax Credit Regulatory Agreements
14.19.4 Tax Exempt Bonds - FHA Insured Permanent Debt
14.19.5 Refinancing of M2M Properties
14.19.6 Income Averaging
14.20 FHA Tax Credit Pilot Program Expansion
Chapter 15 Oversight of MAP Program Requirements
15.1 Oversight of MAP Lenders
15.2.1 Functions
15.2.2 Data and Reports
15.2.3 Timing of MAP Lender Reviews
15.3.1 General
15.4 Administrative Record
15.5 Settlement Agreements
15.6 Letters of Caution, Warning Letters or Sanctions
15.7 Warning Letters and Targeted Enforcement Measures
15.7.1 Warning letter
15.7.2 Targeted Enforcement Measures
15.8 MAP Probation
15.9 MAP Suspension
15.10 MAP Termination
15.11 MAP Lender Review Board
15.12 MAP Lender Review Board: Staff Responsibilities
15.13 MAP Lender Review Board: Procedures
15.14 Notice of Violation
15.15 Notice of Action
15.16 Appeal Conference and Procedures
15.17 Suspension, Debarment or LDP
15.17.1 Parties subject to a suspension, debarment or LDP
15.17.2 Limited Denial of Participation
15.17.3 Suspension and debarment
15.17.4 Procedures to refer a suspension, debarment or LDP
15.18 Referral to Mortgagee Review Board or OIG
15.19 Other Enforcement Actions
Chapter 16 Master Leases with Market Tax Credits
16.1 Introduction
16.2 Background
16.3 General Programmatic Requirements
A. Firm Commitment Special Conditions:
16.5 Cost Certification and Final Endorsement
Chapter 17 Section 207: Refinancing Cooperative Housing Projects
17.1 Introduction and Background
17.2 Program Eligibility
17.3 Program Requirements
17.3.1 Loan Parameters
17.3.2 General Operating Reserve (GOR)
17.3.3 Model Forms and Closing Documents
17.4 Application Processing
17.5.1 Architectural and Cost Processing
17.5.2 Valuation Processing: Appraisal Scope-of-Work
17.5.3 Environmental Processing
17.5.4 Mortgage Credit Processing
17.5.5 Asset Management Processing
17.6 Loan Closing Procedures
Chapter 18 Section 223(a)(7)
18.1 Introduction
18.2 Purpose of Section 223(a)(7)
18.3.1 Standard Processing Time
18.3.2 Inapplicable Mortgages
18.3.3 Maximum Mortgage
18.3.4 Mortgage Term
Loan Data
Loan Requirements
Loan Data
18.3.5 Mortgage Insurance Premium
18.3.6 Environmental Review Requirements
18.3.7 Fees
18.3.8 Project Numbering
18.3.9 Regulatory Agreement
18.3.10 Cost Certification
18.3.11 Commencement of Amortization
18.3.12 Source of Funds for Prepayment Penalty Costs
18.3.13 Refinancing Partial Payment of Claim (PPC) Properties
18.3.14 Commitment, Regulatory Agreement and Closing
18.4 Processing
18.4.1 Project Analysis
B. The following is an example of a sample transaction – the d…
C. The following is an example of a sample transaction – the d…
D. The following is an example of a sample transaction – the d…
18.4.2 Verification of Existing Borrower Debt
18.4.3 CNA Requirement
18.4.4 Site Visits
18.4.5 Section 202 Mortgage Refinancing
Loan Requirements Section of the Act
18.4.6 Ownership and Property Management Changes
18.5 Application Requirements Checklist
Chapter 19 Closing Guide
Part I: Introduction and Procedures
19.1.1 Applicability
19.1.1.1 Objective
19.1.1.2 Defined Terms
19.1.2.1 General
19.1.2.2 Firm Application
19.1.2.3 After Firm Commitment Issuance and Prior to Package S…
B. Lender’s Introductory Response and Interim Communication:
19.1.2.4 HUD Review of Closing Packages
19.1.2.5 Changes to Tentative or Confirmed Closing Dates
19.1.3.1 Administrative Clearance to Close
19.1.3.2 HUD Signature Page
19.1.3.3 Note Endorsement
19.1.3.4 Circulation and Submission of Recordable Documents
19.1.3.5 Form of Closing Docket Submission
19.1.3.6 Restriction on Post-Closing Revision to Closing Docket
19.1.3.7 Closing Type: Mail or In-Person
19.1.4 Post-Closing Handling of Closing Dockets
19.2.1 Initial Endorsement Activities
19.2.2.1 Davis Bacon Labor Standards (DBLS) Clearance Required
19.2.2.2 Procedures for Firm Application, Issuance, and Initia…
19.2.2.3 Early Start of Construction
19.2.2.4 Procedures for Final Closings
19.2.3 Early Start of Construction
19.2.4.1 HUD Prior Written Approval Needed
19.2.4.2 Prior Document Review by HUD Counsel.
19.2.4.3 Implementation
19.3.1.1 Definitions
19.3.1.2 Assurance of Completion
19.3.1.3 Commencement of Preparation for Final Closing
19.3.1.4 Prerequisites for Final Closing
19.3.1.5 Final Closing Procedures
19.3.1.6 Internal Closing Forms
19.3.2.1 Request for Final Endorsement
19.3.2.2 Final Endorsement of the Note
19.3.2.3 Release of Final Advance
19.3.2.4 Release of Working Capital Deposit
19.3.3.1 Requirements for Final Advance
19.3.3.2 Application for Insurance of Advance of Mortgage Proc…
19.3.4.1 Disputes
19.3.4.2 Relevant Issues for HUD’s Consideration
19.3.4.3 Closing Without Full Participation of the Contractor.
19.3.5.1 Introduction
19.3.5.2 Workouts
Part II: Closing Documents and Program-Specific Requirements
19.4.1.1 Required Use of HUD Forms and Closing Protocols
19.4.1.2 Completion of HUD’s OMB-approved Forms
19.4.1.3 Date of Documents
19.4.1.4 Closing Checklists
19.4.1.5 Submission of Closing Documents
19.4.1.6 Changes to Form Documents and Deviations from Closing…
19.4.1.7 Multi-Tiered Review of Requests for Substantive Changes
19.4.2.1 General Requirements
19.4.2.2 Permitted Modifications for State Requirements and Pr…
19.4.2.3 Supplemental, Consolidated, Amended or Restated Loan
19.4.2.4 Ground Lease
19.4.2.5 Fee-Joinders
19.4.3.1 General Requirements
19.4.3.2 Description of Collateral
19.4.4.1 General Requirements
19.4.4.2 Prepayment Provisions
19.4.4.3 Endorsement Panel
19.4.4.4 Late Charge Provision
19.4.4.5 Changes to Loan Interest Rates
19.4.4.6 Change(s) to Permanent Financing After Initial Closing
19.4.4.7 Supplemental, Consolidated, Amended or Restated Loan
19.4.5.1 Form
19.4.5.2 Notice Address for HUD
19.4.5.3 Section 50
19.4.5.4 Section 30 - Additional Occupancy Restrictions and Po…
19.4.5.5 Residual Receipts Rider
19.4.5.6 Additional Riders
19.4.6.1 General
19.4.6.2 Borrower’s Counsel Legal Review and Opinion
19.4.6.3 Required Organizational Documents for Borrower
19.4.6.4 Tax Credit Transactions
19.4.6.5 Final Closings
19.4.7.1 Logistics
19.4.7.2 Title and Survey Review Standards
19.4.7.3 Pro Forma Title Policy Submission
19.4.7.4 Title Policy Requirements
19.4.7.5 Title Policy Issuance and Escrow Services
19.4.7.6 Survey, Survey Map/Plat and Surveyor’s Report.
19.4.8.1 General
19.4.8.2 Supplemental Opinions
19.4.8.3 Litigation Disclosure
19.4.9.1 General
19.4.9.2 Unsecured Secondary Financing
19.4.9.3 Secured Secondary Financing – Public Sources
E. Instructions for submission to the HUD Closing Attorney.
19.4.9.4 Secured Secondary Financing – Private
19.4.9.5 Restrictive Covenants and Use Agreements for Secondar…
19.4.9.6 Equity Bridge Loans (EBL) for Tax Credit Projects
19.4.9.7 Deferred Developer Fees (DDF) for Low Income Housing …
19.4.9.8 Secondary Financing That Is Unavailable at Initial Cl…
19.4.10.1 General
19.4.10.2 Firm Commitment
19.4.10.3 Lender’s Certificate
19.4.10.4 Tax-Exempt Bond/IRS Code 142(d) Projects
19.4.10.5 Restrictive Covenants/Tax Regulatory Agreement
19.4.10.6 Borrower’s Counsel Opinion
19.4.10.7 Bond Counsel’s Opinion
19.4.10.8 HUD Note – Prepayment Prohibitions
19.4.10.9 HUD-Required Language for Trust Indenture/Funding Lo…
19.4.10.10 Bond Disbursement Agreement and Bond Loan Agreement
19.4.10.11 Bond Note
19.4.10.12 Supremacy of HUD Requirements and Conflicts
19.4.11.1 Firm Commitment Condition
19.4.11.2 Subordination of Restrictive Covenants
19.4.11.3 Borrower's Attorney's Opinion (Tax Credits)
19.4.11.4 LIHTC Equity Pay-In
19.4.11.5 Equity Investor Certification
19.4.11.6 LIHTC Rider
19.4.11.7 Pre-Approval of Special Limited Partners
19.4.11.8 Determinative Criteria for SLP Pre-Approval
19.4.11.9 Post-Closing Requirements for HUD Pre-Approval of SLP
19.4.12.1 General Requirements
19.4.12.2 Escrow Agreement for Deferred Repairs (Form HUD-9247…
19.4.12.3 Escrow Agreement for Operating Deficits (Form HUD-92…
19.4.12.4 Escrow Agreement for Working Capital (Form HUD-92412M)
19.4.12.5 Escrow Agreement for Incomplete Construction (Form H…
19.4.12.6 Escrow Agreement for Latent Defects (Form HUD-92414M)
19.4.12.7 Escrow Agreement of Sponsor to Furnish Additional Fu…
19.4.13.1 Permits and Governmental Approvals
19.4.13.2 Zoning and Building Code Compliance
19.4.13.3 Evidence of Utility Access and Service
19.4.13.4 Property Insurance
19.4.13.5 UCC Searches
19.4.13.6 Certifications
19.4.13.7 Certified Closing Statement
19.5.1.1 General
19.5.2 Project Completion Funds
19.5.3 Disbursement Agreement
19.5.4.1 General Requirements
19.5.4.2 HUD Amendment to AIA Document B108 (Form HUD-92408M) …
19.5.4.3 Professional Liability Insurance
19.5.5.1 Construction Contract
19.5.5.2 Prevailing Wage Rates
19.5.5.3 Identity of Interest Disclosure
19.5.5.4 Cost Breakdown
19.5.5.5 Completion of Forms
19.5.5.6 Liquidated Damages
19.5.5.7 Cost Certification
19.5.5.8 Side Agreements
19.5.6.1 General Requirements
19.5.6.2 Surety Requirements
19.5.6.3 Letters of Credit
19.5.6.4 Assurance of Completion for Off-Site Improvements
19.5.7.1 Introduction
19.5.7.2 HUD-Insured Advance Requirements for Building Compone…
19.5.8 Lender’s Certificate for New Construction or Substantia…
19.5.9.1 General Requirements
19.5.9.2 Maximum Insurable Mortgage Form
19.5.9.3 Modifications to Original Loan Terms
19.5.9.4 Modification Documents
19.5.9.5 Borrower’s Attorney’s Opinion
19.5.9.6 Title Evidence at Final Endorsement
19.5.9.7 Final As-Built Survey & Surveyor’s Report
19.5.9.8 Updated Organizational Documents of Borrower
19.5.9.9 Lender’s Current Payment Letter and Certification
19.5.9.10 Guarantee Following Completion
19.5.10.1 Conditions for Approval of Final Advance of Mortgage…
19.5.10.2 Exceptions to General Rule
19.5.10.3 Application for Insurance of Advance of Mortgage Pro…
19.5.10.4 Approval of a Final Advance
19.5.10.5 Escrow for Completion
19.5.11.1 General Rule
19.5.11.2 Exception to General Rule
19.6.1.1 General
19.6.1.2 Promissory Note (Form HUD-94001M)
19.6.1.3 Evidence of Zoning and Building Code Compliance
19.6.1.4 Utilities
19.6.1.5 Request for Endorsement of Credit Instrument (Form HU…
19.6.1.6 Short-Form Cost Certification
19.6.1.7 Repairs and Alterations
19.6.1.8 Latent Defects Guarantee
19.6.1.9 Projects with Expanded Work
19.6.2.1 General
19.6.2.2 Five-Year Lockout
19.6.2.3 Refinances of Second Mortgages.
19.6.2.4 Differences from Section 223(f) Procedures
19.6.3.1 Introduction
19.6.3.2 Effect on Existing Financing
19.6.3.3 Additional Requirements for 241(a) Supplemental FHA L…
19.6.3.4 HUD Form Documents for 241(a) Supplemental Loans
19.6.4 Section 213 Cooperative Housing Loans
19.6.5.1 General
19.6.5.2 Firm Commitment
19.6.5.3 Construction Requirements
19.6.5.4 Closing
Part III: Sample Language, Certifications, and Riders
19.7 HUD-Required Provisions for Borrower’s Organizational Doc…
19.8 Rider to Security Instrument – LIHTC Projects
LENDER
19.9 Rider to Regulatory Agreement for Residual Receipts Requi…
BORROWER
19.10 Survey Affidavit of No Change
AFFIANT:
19.11 Certification of Architectural/Engineering Fees
19.12 Building Code Verification
19.13 Zoning Letter
19.14 Third Party Obligee Certification
19.15 HUD [Rider / Amendment] To Restrictive Covenants
Note: This document has been submitted to OMB for PRA approval…
19.16 Equity Bridge Loan Rider – LIHTC Projects
Section 213 Cooperative Program Rider to Regulatory Agreement …
Appendix 2 Quality Control Plans and Identity of Interest
A.13.2 Agreement Authorizing Deferment of Principal Payments f…