Asset Management includes information, forms, and requirements for managing affordable rental housing.
Instructions for using our online Form 500 application to process your property's reserve release requests and our
disbursement of funds policy for project reserve accounts.
The process for requesting a technical review of a REAC inspection is located at: http://portal.hud.gov/hudportal/HUD?src=/program_offices/public_indian_housing/reac/online. You must request the review within 30 days of the inspection report being released to the property owner.
It is crucial for HUD to determine the condition of the properties in its portfolio on a regular basis to ensure that residents live in a decent, safe and sanitary housing. Public housing properties are inspected by REAC annually as defined by the PHAS Rule. Other housing properties are inspected annually. REAC inspections are currently not associated with inspections done by other entities (e.g. mortgagees, local building code officials).
Inspection reports are available only from HUD's Secure Systems. Effective October 15, 2002, HUD will no longer mail inspection reports to owners. Access to the Secure Systems is available via the Internet and users must be authorized by the owner and by HUD. For more details and instructions on how to apply for authorization to the Secure Systems, please visit: http://www.hud.gov/reac/online/reasyst.cfm.
If you are representing an owner or PHA Executive Director, REAC can only re-send the inspection report to the address of the owner or PHA Executive Director in HUD's automated systems. For security reasons, please follow-up with the owner or PHA Executive Director to receive a copy for yourself.
Upon completion of the inspection, the inspector will provide your authorized representative with a signed copy of the property's Life Threatening Health and Safety Report. The Life Threatening Health and Safety Report is contained in the Inspection Report that is available on line.
The score is a number between 0 and 100 that reflects the physical condition of a property, inspectable area, or sub-area. Inspectable area means any of the five major components of the property, which are site, building exteriors, building systems, common areas, and dwelling units. Sub-area means an inspectable area for one building.
Inspectable items refer to walls, kitchens, bathrooms, and other items to be inspected in an inspectable area. Weights are assigned to each item. Based on the importance of the deficiency, reflected in its criticality value, points are deducted from the property score. Health and safety deficiencies substantially affect the overall property score. The weights are adjusted to reflect the inspectable items that are present.
For more information on inspectable item and deficiency definitions, area weightings and deficiency criticality, and physical inspection scoring processes, please refer to the REAC's Physical Inspection product page.
Attachment 3 is to be copied onto the owner's letterhead (or indicate that they do not have letterhead stationary) and signed by the owner. The owner must sign it. The agent may sign for the owner only when a specific authorization to do so, signed by the owner, accompanies the 'Attachment 3'. The signed form must be sent to WHEDA.
There are three avenues for contacting REAC.
We use a risked based system to determine the frequency of visits to your property.
The four risk factors that we use to assess a development are:
Your score in each of the factors is weighted and will determine the frequency of visits to your development. You may have more frequent visits if required by the loan and regulatory requirements.
Information we require will vary from development to development based on your overall risk assessment. At a minimum you will be required to submit the following:
You may be required to submit additional information as determined by your Portfolio Risk Officer or regulatory agreements.
We will need a new Automatic Clearing House (ACH) agreement completed when bank account information changes. Please allow 30 days for processing the new information.
Reserve disbursement requests are made online through eWheda services using the Form 500 - Reserve Request Form. Review of disbursement requests are handled by your Asset Manager.
Expenditures may require a pre-approval. WHEDA’s Reserve Disbursement Policy outlines pre-approval requirements. Requests for pre-approval to enter into contracts or purchase goods or services must be submitted in writing, with specifications attached, if applicable. We reserve the right to require and review bids prior to entering into a contract or purchasing goods or services with project funds.
An expenditure from project reserve funds will not require pre-approval by WHEDA if:
For these improvements, at least three bids are preferred.
Contact your Portfolio Risk Officer if you are unable to obtain three bids.