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MOR, REAC Inspections, HUD RCS Suspended

Saturday, March 14, 2020

MOR and REAC Inspections Suspended

Until further notice, Multifamily is postponing all REAC property inspections and Management and Occupancy Reviews for all Multifamily properties. Where there is an exigent circumstance or reason to believe that there is a threat to life or property at a specific location, inspections will be conducted by HUD quality assurance inspectors in compliance with CDC guidelines.

HUD RCS Requirement Suspended

HUD RCSs are suspended in areas that are under a state or nationally declared emergency or where public health officials have imposed limited travel.

HUD will provisionally accept an owner’s RCS up to five (5) percent above current rent levels, though HUD or the Contract Administrator (CA) must still review an owner’s RCS to make sure the rent conclusions are reasonable. At the owner’s request, these can be subject to a new HUD RCS when normal activities resume. On a case-by-case basis, HUD may review and accept higher rents without a HUD RCS at HUD’s sole discretion.

Multifamily’s updated Coronavirus  (COVID-19) FAQ can be found under the ‘What’s New!” heading in right hand column: https://www.hud.gov/program_offices/housing/mfh

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