VHFA's servicing and monitoring relationship with its multifamily borrowers is proactive. VHFA is interested in the ongoing financial and physical well-being of each property in its portfolio and is also available to offer advice and ideas on topics, such as:
VHFA uses a variety of tools to stay informed about the status of each property. Those tools include budgets and annual audits. Read the instructions and form templates for each of these on our Forms and Documents page.
VHFA requires that all project bank accounts be established as separate and identifiable for each property and that they be federally insured. VHFA also requires joint signatory authority on disbursements from the replacement reserve account.
For maintenance and improvements expected to exceed $7,500 in cost, please solicit and submit at least two bids prior to completing the work or making purchases. However, in an emergency, please proceed immediately with repairs and notify VHFA as soon as possible.
Proposed property management services must be acceptable based on the experience and capacity of your agent. All management agreements must be approved in writing by VHFA and contain a provision that it is subject to termination, with cause, upon VHFA's written request
Liability and hazard insurance must be maintained, including business interruption coverage as outlined in VHFA's insurance handbook.
Multifamily asset management staff is available to review specific documents and answer any questions regarding loan closing requirements.