Renewal/Adjustment Frequently Asked Questions

 

1.When should I submit a contract renewal request?

 

HUD requires the requests to be submitted at least 120 days prior to contract/funding expiration

 

 

2. What is debt service?

 

Debt service equals Principal + Interest + MIP (if applicable) - IRP (if applicable).

 

 

3. Can an increase factor (line Q) be less than one?

 

No, the increase factor must be greater than one.

 

 

4. How do I calculate line N?

 

Line N is a calculation consisting of line M times one plus the OCAF.

 

 

5. What is the current OCAF rate?

 

 

 

6. Do I have to submit a utility allowance analysis?

 

Any property at which tenants receive a utility allowance is required to submit an analysis with every contract renewal or rent adjustment.

2395 Jolly Road

Suite #180

Okemos, MI 48864

Phone: 517-267-9277

Fax: 517-267-9894