Date Published: October 2012
Grantees have the primary responsibility for underwriting each project and should adopt standard underwriting procedures in order to ensure that all costs are reasonable and appropriate per OMB Circular A-87 and do not unduly enrich any parties involved. HUD has developed webinars and templates to assist NSP grantees in developing underwriting policies and procedures. The NSP Underwriting Principles Webinar, held August 2010, provides basic tips for underwriting of multi-family projects, especially projects meeting the 25% low income set aside. The NSP Multifamily Rental Toolkit provides an underwriting template and subsidy layering review template for multifamily rental projects funded by NSP.