MFA has been an approved housing finance agency participant with HUD’s Risk Sharing 542c program since 1995. The program is authorized under Section 542(c) of the Housing and Community Development Act of 1992 (12 U.S.C. 1707), which became a permanent multifamily insurance program in 2001 (ref. Section 235 of HUD's FY2001 Appropriation Act, Public Law 106-377.) Program regulations are listed under 24 CFR Part 266 and HUD handbook 4590.01.
If you are a Risk Sharing mortgagor, your partnership with MFA will continue throughout the life of your loan. The Asset Management Department will be your partner for access to the capital reserve for replacement account and the execution of HUD approvals such as the affirmative fair housing marketing plan, owner certifications, transfer of physical assets and change in management agent.
This partnership will also involve periodic compliance monitoring visits, physical inspections, review of capital needs assessments and other asset management functions. In addition to conducting our own physical inspections, members of the Asset Management Department also facilitate the scheduling of HUD REAC UPCS inspections which are required for FHA insured properties.
Please consider us a valuable resource and be sure to contact our department staff if you have any questions. Important information about the Risk Sharing program and resources for property owners and agents can be downloaded from the links listed below. For more information about the Risk Sharing program, go to HUD’s website.