Scores under 60 and under 30
Posted: Wed Nov 25, 2020 8:12 am
What are the requirements if a property scored under a 59.
That is way more complicated than you probably want to know… but let’s try… when a property scores below 60 the first time, they have to repair every defect cited and provide HUD with a certification of all repairs as well as conducting an internal inspection of 100% of the units and non-unit areas. They have a deadline of 60 days from the date they are notified of this requirement. If they fail to comply, they face additional problems. If they comply in a timely fashion, their regular inspection in a year may be conducted by a HUD QA rep (Quality Assurance.) QAs generally do a tougher inspection, so there’s a chance that even though the property tried to do the right thing, they may fail again. For second failures and for first time scores under 30, the consequences are more severe. HUD Departmental Enforcement Center may place the property under more stringent sanctions that can result in abatement (cancellation) of a Section 8 contract or foreclosure of a HUD insured mortgage. Mainly what happens is that attorneys get involved and it becomes very unpleasant for all concerned, but very few properties ever really get shut down.
For more info, see the actual policy document at http://reacguru.com/below60/new%20under ... 018-08.pdf