7-2. RENEWAL OF PORTFOLIO REENGINEERING DEMONSTRATION PROJECTS

• A. If the project has either a recorded Mortgage Restructuring Demo Program Use Agreement or a recorded Budget-Based Without Mortgage Restructuring Demo Program Use Agreement:

  1. The Demo contract must be renewed under Option Five.

Chapter Seven – Published March 2023

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2. The owner is required to accept offers from HUD to renew the Section 8 contract throughout the term of the Demo Use Agreement. Therefore, an owner cannot opt-out of the contract.

• B. If the project went through the Demo Program but does not have a recorded Demo Program Use Agreement, it does not qualify as a Demo project. The owner:

  1. Cannot renew its contract under Option Five.

  2. May renew its contract under any other Option for which it qualifies.