SOW FHA 223f Underwritting Trng.pdf

Statement of Work

FHA Underwriter Training Program

I. Background

The purpose of this requirement is to ensure that HUD’s underwriters understand large-scale lending. The Mortgage Bankers Association (MBA) conducts a 6-month instructor-guided annual training, “FHA Multifamily Underwriter Program” for the lending industry and lenders that seek FHA-approval from HUD to underwrite FHA-insured multifamily mortgages. The HUD participants will participate in a 6-month web-based training. The course requires a significant personal commitment by participants – both in terms of web-based classes during the work week and time intensive homework. Participation and successful completion of the course aids in developing the skills of HUD Multifamily staff working in an underwriting or technical assistance role.

II. Scope of Work/Objective

The objective of this requirement is to obtain training for HUD Underwriters in analyzing and interpreting market and appraisal data in support of underwriting requirements in the Multifamily Accelerated Processing (MAP) Guide and the associated forms.

III. Description of Work

Provide training tailored to the MAP Guide and current approved forms required by the MAP Guide for 20 HUD staff participants. Provide participants with the necessary knowledge to analyze and interpret market and appraisal data which is submitted in a MAP application for FHA multifamily mortgage insurance. Provide an overview of course content and materials;

review of web-based training process, format, and access requirements. Provide weekly, instructor-guided, web-based training for two hours per week for a six-month period. Assign and review participant homework assignments and course exams.

IV. Specific Requirements/Performance Standards

Provide web-based training to include case studies to develop participant skills in the following topics such as but not limited to: Borrower Organizational Structures and Identifying Active Principals and Controlling Participants, Borrower Mortgage Credit Analysis and Financial Statement Analysis, HUD Form Review, Deriving Multifamily Income and Expenses, Property Inspection, CNA Report and CNA e-tool, Environmental Analysis, Market Survey and Analysis, Appraisal Principles and Procedures, Valuation Analysis, Loan Closing and Loan Documentation, Rate Lock and Securitization and Multifamily Lending Risk and Risk Mitigants to understand how the data impacts loan decisions for an FHA-insured multifamily mortgage; and interpreting appraisals in support of the underwriting process. The training must be specific to current MAP Guide requirements and current approved HUD forms. Administer a closed book mid-term and final examination to assess participant progress. Provide completion certifications to participants who successfully meet the training objectives.

Course Topics Deliverables Course Content

Virtual Kick Off and Introduction Overview of course program, Introduction of instructors, HUD Information session, market update

Borrower Organizational Structures and Identifying Active Principals and Controlling Participants

Provide Training: Understanding ownership structures (profit and non-profit); Identifying Active/Passive Principals; Controlling Participants;

Organizational Charts

Borrower Mortgage Credit Analysis and Financial Statement Analysis

Provide Training: Understanding Types and Components of Financial Statements; Review of Financial Statements, Attached Schedules and Notes and Understanding REO

HUD Form Review Provide Training: HUD Forms

Deriving Multifamily Income and Expenses

Provide Training: Deriving income and expenses, reviewing property operating statements, and rent rolls; review HUD forms

Property Inspection Provide Training: Learn steps taken to complete a property inspection; including components of the third-party reports and market conditions. Learn to identify architectural design issues found during multifamily inspections

CNA Report and CNA e-tool Provide Training: Review CNA reporting and replacement reserve calculations for critical and non-critical repairs and how these relate to underwriting.

Review the CNA e-tool.

Environmental Analysis Provide Training: Understand the important components to an environmental assessment and how it relates to underwriting. Also review regulatory requirements and how to assess risks and make recommendations to HUD

Market Survey and Analysis Provide Training: Understanding how market factors influence underwriting decisions and how to interpret a market study.

Appraisal Principles and Procedures Provide Training: Understand appraisal ethics and standards, basic appraisal concepts

Valuation Analysis Provide Training: Understand appraisal ethics and standards, basic appraisal concepts impacting scope;

understand FHA appraisal report, how to interpret highest and best use, 3 approaches to value

Loan Closing and Loan Documentation Provide Training: Discusses the participants of loan closing, impediments of loan closing, reviews standard loan documentation.

Rate Lock and Securitization Provide Training: This session is for information purposes only. Discusses how the rate is locked, investment risks and securitization.

Multifamily Lending Risk and Risk Mitigants

Review common multifamily lending risks, how to mitigate the risks and underwriting risk metrics

V. Quality Control Plan

The Contractor shall develop, maintain, enforce, and document a Quality Control Plan (QCP).

The QCP shall ensure the Government receives the level of quality that is consistent with the requirements specified in this contract. The QCP shall be sufficiently detailed to provide the contractors methodology for identifying and recruiting qualified personnel. The QCP shall also provide the contractors methodology for establishing an internal feedback system for support personnel, and for resolving problems identified by that feedback system.

VI. Confidentiality of Information

Unless otherwise specified, all financial and personal data, which is produced or otherwise available to the contractor during the performance of this contract, is considered confidential and shall not be used for any purpose other than performance of the work under this contract.

Regardless of the form of this data, the contractor agrees that no employees will disclose or allow disclosure of any such data or derivatives thereof to third parties, except as may be required in the performance of this task order.

VII. Quality of Support

The Contractor shall ensure that all support personnel are adequately trained, possess the requisite experience, and are otherwise fully qualified to provide the high level of support required by the Department prior to be assigned to this effort.

VIII. Period of Performance

The period of performance is from January 6, 2026, to June 30, 2026.