Mark-to-Market program

Mark-to-Market program

As used by the Department of Housing and Urban Development, a HUD program to eliminate higher than market rental rates for low-income housing owned by private developers.There was nothing wrong with this,originally.HUD wanted to encourage developers to build such housing, so it offered to subsidize the rents and pay developers the difference between the income-based rents paid by the tenants and a developer-set unit rent that could be higher than local market conditions. If developers could receive above-market rents and income guaranteed by HUD,anyone would naturally start building lots of low-income housing.Now,however,the properties have been enjoying above-market rents for many years,and HUD wants it to end. The Mark-to-Market program is a staged termination of those incentives, requiring low-income housing facilities to charge market rents,and no higher.

References in periodicals archive ?
Financing for two of the properties included the restructuring of their existing mortgages through HUD's mark-to-market program, and the third property included the repurchase and extension of a ground lease that was sold to the city.
Finally, the bill extends the Section 8 mark-to-market program for five years through 2011.
In 1997, he helped develop and pass the Mark-to-Market program and later wrote its reauthorization in 2001.
Department of Housing and Urban Development's (HUD) portfolio of assisted units developed through the Mark-to-Market Program in the 1990s (see Partners v.
HUD's Mark-to-Market program does not offer a solution for many of the older-assisted properties because it is directed at newer, federally assisted properties with rents that exceed 120 percent of an area's fair market rent.
In 1997, Congress established the mark-to-market program to help preserve the availability and affordability of low-income rental housing while also reducing the cost to the federal government of rental assistance provided to low-income households.
Department of Housing and Urban Development (HUD) recently announced it has extended the renewal period from five to 20 years on Section 8 properties whose mortgages are being restructured under the Mark-to-Market program.
Recently, Mortgage Banking had a chance to sit down with OMHAR's Peppercorn to talk about the progress that's been made since the Mark-to-Market program began.
Before joining Prudential, Warren served as deputy director for debt restructuring for HUD's mark-to-market program.
Finally, S 131 would extend HUD's Mark-to-Market program for five years.
Department of Housing and Urban Development's (HUD) mark-to-market program, the new owner and HUD will enter into an amendment of the existing HAP contract that will extend it for 20 years.
HUD's Mark-to-Market program is aimed at preserving the affordability of low-income rental housing while reducing costs to the federal government of rental assistance subsidies provided to low-income households.