5 Positive Takeaways in HUD’s HOTMA Final Rule
Buzz about the HOTMA Final Rule has dominated the affordable housing industry this year. Questions from property owners abound: When will it officially roll out? How will it impact tenants? When do property leasing staff really need to be trained? HOTMA introduces the most significant set of changes to occupancy requirements that the industry has seen in over a decade, so it makes sense that there is confusion and trepidation. However, it’s important to recognize that HOTMA does bring several […]
Read More....HOTMA’s Impact on HUD’s Multifamily Housing Industry
Ready or not, HOTMA is coming…and you should be ready for HOTMA’s Impact on HUD’s multifamily housing industry. HOTMA (Housing Opportunity Through Modernization Act) introduces the most significant and comprehensive changes that HUD’s occupancy requirements for the HUD Multifamily Housing industry have seen in the last ten years. Whether you have five or 500 HUD units at your site, you’ll need to correctly incorporate HOTMA requirements. While identifying and learning how to implement these changes can be scary, in the […]
Read More....2023 HUD Median Family Income Limits Released
HUD released the official 2023 HUD median family income limits this week, which you can view here. How do median family income limits impact property owners? There are two key things to note: Owners of properties participating in HUD’s Multifamily Housing Programs must utilize these limits when processing Move-Ins and Initial Certifications HUD Form 50059s effective May 15, 2023 or later. Owners must verify the appropriate income limits are loaded into their compliance software. These income limits for HUD programs […]
Read More....TRACS User Re-Certification Due Friday March 10th 2023
TRACS User Re-Certification is Due Friday March 10th 2023. Individuals with access to TRACS in HUD’s Secure Systems are assigned access as either a TRACS Coordinator or a TRACS User. Each year, those that are TRACS Coordinators are responsible for recertifying their assigned TRACS Users. The purpose of the annual user recertification is to ensure those individuals with access actually need access to this sensitive information in order to complete their job duties. This annual recertification task is different from […]
Read More....Must the tenant sign a 50059 if their portion has not changed?
Question: If the utility Allowance remains the same does the tenant have to sign the computerized 50059? Answer: Some gross rent adjustments do not impact the tenant portion of the rent. This occurs when either there is no utility allowance at the property or the utility allowance remains unchanged yet contract rent is adjusted. In either scenario, when the owner generates HUD Form 50059As along with updates to previously completed full certifications with subsequent effective dates, tenant signatures on these certifications are not required. […]
Read More....At what point is hoarding considered bad enough for an eviction?
It is an important question that property owners have: At what point is hoarding considered bad enough for an eviction? If pest control can’t properly treat the apartment or if a foul smell is so bad you can’t remain in the apartment, is it reason enough for eviction if you have repeatedly asked them to clean up? When Hoarding Is Bad Enough For An Eviction: These are delicate situations that present challenges for onsite staff. You are tasked with striking […]
Read More....Do Tenants Without Vehicles Still Need Assigned Parking Spots?
Question: Do tenants without vehicles still need assigned parking spots? If a tenant does not own a vehicle, and no longer drives, does that tenant still have to have an assigned parking spot if the property has assigned parking? Answer: HUD does not have established regulations specific to parking. However, you must ensure consistency and outline the parking rules within your House Rules. (4350.3 Paragraph 6-5.B-1) One recommendation you might consider, for simplicity, is to assign parking spots to each unit […]
Read More....REAC Clarifies Requirement
Earlier this year, we posted an announcement regarding HUD’s new requirement for Owners to install carbon monoxide detectors in all assisted units by December 27, 2022. This week, leadership from HUD’s Real Estate Assessment Center (REAC) clarified that this new requirement does not apply to properties that have no gas-related building systems. In other words, if all components of the property are run exclusively by electric power, carbon monoxide detectors are not required. Owners must carefully evaluate all components of building […]
Read More....Is there a limit on the number of Service/Companion animals if the tenant has all the proper documentation?
Question: Is there a limit on the number of Service/Companion animals if the tenant has all the proper documentation? The property rules are 1 animal. Answer: No. The 4350.3 Handbook does not specify a limit to the number of assistive animals a disabled individual may request. They may have multiple assistive animals that perform different tasks. That does not mean that you, as the owner, cannot limit the number of household pets at a property. Just be very aware of […]
Read More....Can an existing 65-year-old single resident request to have their disabled adult child move into the property?
Question: Can an existing 65-year-old single resident (Joe) request to have their disabled adult child (Kim) move into the property? Can Joe also request to be reclassified as the live in aide for Kim? Does the availability of different unit sizes play any role in answering this question? Answer: This is a 3-part question. We will answer each part separately. (4350.3 Paragraph 7-4.D and 7-4.E) 1. Whether or not an adult child is permitted to move into an elderly parent’s […]
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