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What to Do When a property fails a REAC Inspection?

It’s very common for properties to fail REAC inspections if they do not meet the standard criteria. This means that the property is not compliant with the standard quality and shape according to HUD’s REAC, and it requires repair.

Housing quality standards are set by HUD’s Real Estate Assessment Center (REAC) to ensure tenants are provided with safe and secure housing. It ensures properties are well maintained and up to the standards of living quality.

In most cases when a property fails in a REAC inspection, property owners and managers are not happy with the report. Although the findings of the report might not be as anticipated, failure to comply might result in unavoidable consequences.

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What to Do When a property fails a REAC Inspection?

The best course of action after receiving a fail score for REAC Inspections is as followed:

Consider the points raised in the report

Not all findings according to the REAC inspection report are big constructional deficiencies. That means, there could be things you might have missed or actually require an upgrade. Check the report thoroughly and give yourself time to put everything under clear consideration.

Despite your disagreement with the REAC inspection report, the best initial step is to accept the findings in the report. Work towards those findings, and find solutions. This would also help you avoid any future problems or red flags during inspections.

It is strictly recommended not to take property failures personally. Taking it as an offense could lead to unpleasant ramifications. This doesn’t end quite well for property owners.

File an appeal

Disparity and incongruity in REAC systems and their requirements make it necessary to review your file and report for an appeal. This course of action could result in an adjustment of your score and potentially gain the missing numbers.

An appeal, in this case, is not about complaining about the insufficiency of the REAC inspectors or their lack of professionalism during inspections. It is about pointing out the disagreements and the gap to find the best possible solution and raise your score.

Based on your previous reports, the situation and state of appeal could be different. An owner with multiple consecutive fail reports and shortfall to comply with the findings, might not be taken into account.

Comply with the report and do the repair

Abiding by their decision and results could save you from future issues. Start with repairs and maintenance required. This means ensuring the work is done properly and according to the standards.

This time, property owners must make sure to do things the right way without any shortcuts or cost-cutting, so that their properties could meet the housing quality standards, and pass the next REAC inspection.

Final Words

Property owners can plan a survey, to respond to the appeal. This would allow you to support your appeal with a survey report. It’s critical to find someone with experience to conduct the survey and one that’s considered qualified by HUD. This survey should include every inch of the property and not just the findings by REAC inspectors.

Lastly, you must remember you aren’t the only one with a fail score. Stay focused and keep a positive attitude. Undertake lawful and legal steps, and you go through it.

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