On November 21, 2012, U.S. Department of Housing and Urban Development (HUD) issued Mortgagee Letter 2012-25 to all mortgagees, owners & agents and due diligence providers.
Mark English, E & A Team, Inc., gives guidance on the Mortgagee Letter. "If you are refinancing an existing apartment with HUD mortgage insurance, the new HUD Mortgagee letter 2012-25 issued on November 21, 2012 applies to:
- All applications for mortgage insurance under the FHA Multifamily Housing Programs;
- All 10 year PCNA updates for existing insured properties; and
- All PCNA's required by the Office of Mutlifamily Housing except those required for restructuring of assisted housing projects under the Market-to-Market program.
The requirements for a new PCNA every 10 years now applies to all new applications for insurance for apartment properties."
Violations of any Federal, State, or Local multifamily housing accessibility requirement is considered a "critical error" and must be addressed by a "corrective action plan" with retrofits of noncompliant elements to be completed within 6-12 months.
Click here to view the Mortgagee Letter.
We would like to thank Mark English wih E & A Team, Inc. for contributing this article. http://eandateam.com