“Contractor’s [SP Group’s] quality of work exceeds expectations”
– Client Testimonial
SP Group was awarded a prime contract to assist HUD’s Office of Multifamily in conducting due diligence and underwriting services for applications submitted under the Rental Assistance Demonstration (RAD) and FHA insurance program.
Challenge: HUD’s Office of Multifamily needed assistance with processing, underwriting, closing and over-all due diligence of applications submitted under the Rental Assistance Demonstration (RAD) and FHA insurance program. HUD needed to address the backlog of applications nationwide combined with unacceptable delays in processing times.
Solution: HUD contracted SP Group to provide due diligence and underwriting review services. Under this engagement, SP Group’s team of underwriters, appraisers and financial analysts conduct a comprehensive financial and credit analysis of applications submitted for multifamily financing and refinancing projects. We ensure that applications are reviewed and submitted to HUD’s loan committees within 30 days of receipt. Our due diligence involves a risk assessment of credit and managerial history of mortgagors and principals, a streamlined review of third party reports such as appraisals, physical conditions needs assessment (PCNA), and other documentation. To facilitate loan closings, we coordinate with HUD’s Office of General Counsel, HUD’s field staff and more than 40 different lenders and their counsel to complete each transaction in the shortest possible time.
SP Group reviewed 165 loan applications with mortgage amounts ranging from $700,000 to about $70 million.