Mr./Ms. <Address> < > < > </p>
<p>Dear Mr./Ms. <Name>.: </p>
<p>Subject: MAP Invitation Letter Project No:<XXX-XXXXX> Section <SOA> <Project Name> <City, State> </p>
<p>This is to inform you that our staff has reviewed the Pre-application materials for the subject proposal and finds it to be worthy of further consideration should you decide to submit a Firm Commitment application for mortgage insurance. There is a market for the proposal based upon our review of the appraisal and market study subject to updating all market assumptions before Firm Commitment. Subject to later confirmation or completion of the HUD environmental review, the site appears acceptable based on our preliminary inspection and the information provided. </p>
<p>In the event that you desire to continue with this project and submit an application for Firm Commitment, it is understood that the project will have the following characteristics: </p>
<p><strong>Type of Unit Sq. Ft. Number Monthly Market Rental</strong> Efficiency One Bedroom Two Bedroom Three Bedroom Four Bedroom Total </p>
<p>Equipment and Services included in the rent are: </p>
<p>Number of Parking Spaces: Enclosed ____________________ Open ________________ </p>
<p>Estimated Monthly Parking Rental $ ___________________ </p>
<p>Residential Accessory Income $ ____________________ </p>
<p>Commercial Area ____________ sq. ft. Estimated Monthly Rental $ _______________ </p>
<p>MAP Guide, March 2021 Go to beginning of Appendix 4 </p>
<p>Bookmarked Version </p>
<p>Appendix 4 Page A4-17 </p>
<p>Go to Acronym and Abbreviation List, Glossary, Index </p>
<p><strong>To return to this page after clicking a link, press ALT + Back Arrow</strong> </p>
<p>Appendix 4 Application Processing Documents A.4.5 Sample MAP Invitation Letter </p>
<p>Go to Table of Contents </p>
<p>The operating expense estimate of $___________ per unit per annum is preliminarily acceptable subject to updated and relevant data before the Firm Commitment. The total for all improvements appears to be within a reasonable range. Attached is the current wage decision for this area. Please go to <a href="https://beta.sam.gov/">https://beta.sam.gov/</a> for any updates while preparing your Firm Commitment application. </p>
<p>Land value/as-is value will be determined at the Firm Commitment stage. Excess costs resulting from any unusual site conditions identified in the construction cost estimate at the Firm Commitment stage will be deducted from the land value fully improved (with offsite improvements installed). The HUD environmental review and environmental assessment and HUD previous participation (Form HUD-2530) will not be completed until the Firm Commitment package is submitted to HUD. </p>
<p>It is important to understand that this letter is not to be construed as a commitment on the part of FHA to insure a mortgage for your proposal. It is intended only to establish general agreement on the basic concept, market, rents, and expenses for your proposal. If the Firm Commitment application submitted is consistent with the Pre-application submission, does not trigger the thresholds for a more extensive review, and no problems arise because of environmental or previous participation issues, HUD should be able to complete its review within the scheduled time. If there are significant changes from the concept agreed to at the Pre-application submission, HUD will need more time to complete an extensive review and will not be bound by the scheduled review time and could result in rejection of the Firm Commitment application. Significant changes would include changes in location, building type, project market, rents, unit number, unit mix or gross project area that could cause a change in income, expense and demand assumptions and/or require a new market study and HUD review. </p>
<p>Therefore, you are invited to submit a Firm Commitment application for mortgage insurance on Form HUD-92013, “Application for Multifamily Housing Project”, along with the required MAP lender deliverables, by < <em>insert date 120 days after the date of the letter</em> >. Under MAP, HUD requires an application fee of $3 (30 basis points) per thousand of the mortgage amount; $2 per thousand for market-rate and affordable properties located in qualified opportunity zones, or $1.50 per thousand for broadly affordable properties located in qualified opportunity zones[70] . The balance due for the application fee must be paid at the Firm Commitment stage, with evidence of payment submitted with the Firm Commitment application. </p>
<p>The lender must advise HUD in writing within 30 days of the date of this letter of invitation whether or not it plans to submit an application for the particular project. If the lender fails to notify HUD within the time required, the invitation letter expires, and the lender will be required to repeat the Pre-application process.</p>
<p>The application for a Firm Commitment must be submitted within 120 days of the date of the letter of invitation. The Regional or Satellite Office may authorize extensions of up to 90 days past this 120-day limit, but there is no requirement that the extensions be approved. The HUD office will review the circumstances reported by the lender to justify an extension of time. The lender must certify and the Regional or Satellite Office must determine that the request to extend beyond 120-days is not likely to change the underwriting data on which the invitation was based or to undermine the feasibility of the project due to a change in the market or other factors determined at Pre-application. A request for an </p>
<blockquote>
<p>70 Housing Notice 2019-07 Incentives for FHA Mortgage Insurance for Properties Located in Opportunity Zones, allows reduced application fees for properties located in qualified opportunity zones. Broadly affordable and affordable in this context are defined in HUD’s Federal Register notice dated March 31, 2016 (81 FR 18473). </p>
</blockquote>
<p>MAP Guide, March 2021 Go to beginning of Appendix 4 </p>
<p>Bookmarked Version Go to Acronym and Abbreviation List, Glossary, Index </p>
<p>Appendix 4 Page A4-18 </p>
<p><strong>To return to this page after clicking a link, press ALT + Back Arrow</strong> </p>
<p>Appendix 4 Application Processing Documents A.4.6 Firm Commitment Templates </p>
<p>Go to Table of Contents </p>
<p>extension of time beyond the 90-days may be allowed with justifiable cause. These requests must be submitted by the Regional Director to the Director of the Office of Multifamily Development (Headquarters) or his/her designee. The authorization request must provide the additional time requested, the Regional or Satellite Office’s recommendation, and the reasons the extension is needed. </p>
<p>Sincerely, <Space for ink signature> < > < > </p>
<p><Underwriter Name> <Job Title> <Office></p>
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