02 Dec 2024 Understanding HUD Extensions
Authored by H. Brent Stratton, CPA
Navigating the complexities of HUD reporting can be challenging, especially when it comes to meeting various deadlines. Fortunately, the Department of Housing and Urban Development (HUD) may grant extensions for a variety of multifamily housing-related requests. This guide provides an overview of the types of extensions available and the steps to request them, ensuring compliance and maintaining good standing with HUD.
Types of HUD Extensions for Multifamily Housing
- Multifamily Electronic Submissions: For requests related to electronic submissions, property owners and managers can log into the REAC (Real Estate Assessment Center) system. By following the specified steps, users can request additional time for their submissions, ensuring compliance with HUD regulations.
- FHA-Approved Multifamily Mortgagees: FHA-approved mortgagees, involved in the financing of multifamily housing, may be eligible for extensions on firm commitments and due diligence requirements. This flexibility allows mortgagees to meet critical deadlines without jeopardizing their projects.
- Project-Based Rental Assistance (PBRA) Properties: HUD has recently extended the deadlines for PBRA property owners to update their Tenant Selection Plans (TSPs). This extension ensures that property owners can maintain compliance with HUD’s evolving guidelines and tenant selection criteria.
- Financial Reports: In response to the COVID-19 pandemic, HUD has granted extensions for certain financial report deadlines for multifamily housing project owners and residential care facilities. This relief measure allows property owners and managers additional time to prepare accurate and compliant financial reports.
Important Note: All extensions are contingent upon the availability of funds and are subject to change based on HUD’s discretion and policy updates.
How to Request a HUD Extension
To request an extension for multifamily electronic submissions, follow these steps:
- Log into the REAC system: Access the REAC system using your login credentials.
- Navigate to FASSUB: Once logged in, click on the “FASSUB” option.
- Review Announcements: Click through any announcements to proceed.
- Select “Extension Request”: Choose the “Extension Request” option and fill out the necessary form with accurate details.
Important Note: HUD does not provide direct notifications regarding their decision on extension requests. To check the status of your request, return to the REAC system after one day or two days and click on the “Administrative Requests” link to view their response.
For extensions related to FHA-approved multifamily mortgagees or PBRA properties, please consult with your specific lender or HUD representative. Alternatively, reach out to Haynie & Company for professional guidance and assistance in navigating HUD extension requests.
Conclusion
Understanding the process for requesting HUD extensions is crucial for maintaining compliance and ensuring smooth operations in multifamily housing management. By following the proper procedures and staying informed about HUD’s policies, property owners and managers can effectively manage their obligations and avoid potential penalties.
At Haynie & Company, we specialize in HUD extensions for multifamily housing. Contact us today for expert help or to submit an RFP, or to schedule a free consultation.