HUD Mark to Market Market Studies and Appraisals
HUD Mark to Market market studies and appraisals are prepared in conjunction with revising the rental rates and loan balance for an apartment complex with federal rental housing assistance (such as Section 8) and HUD guaranteed financing.
Rental rates for apartment complexes where residents receive section 8 housing are eligible to apply for periodic rental rate increases. Over a period of time, the rental rates for many section 8 apartment complexes were increased to a level substantially in excess of market rents. While rental rates were being increased, many apartment owners secured HUD guaranteed loans premised upon the inflated rental rates. Congressional and media scrutiny of excessive rental rates resulted in the “HUD Mark to Market” program. Rental rates and mortgage balances are both adjusted to market levels. (Adjusting rental rates to market without adjusting mortgage balances to market would have resulted in a flood of defaults on HUD guaranteed apartment loans.)
HUD has precise rules for the preparation of market studies and appraisals for this program. O’Connor & Associates has prepared over 500 market studies and/or appraisals for the HUD Mark to Market program. O’Connor & Associates is the largest independent appraisal firm in the southwestern US and has over 40 full-time staff members engaged full-time in valuation and market study assignments. Their expertise includes HUD Mark to Market market studies, HUD rent comparability studies, HUD MAP market studies and appraisals, feasibility studies, valuing real estate, business personal property, business enterprise valuation, purchase price allocation for businesses, valuation for property tax assignments, partial interest valuation, estate tax valuation, expert witness testimony and valuation for condemnation.
To obtain a quote or further information for a HUD Mark to Market market Studies and Appraisals, contact John Fisher at 713-375-4300, 1-800-856-7325 x 4300, or fill out our online form.