Be sure your accounting records are in good shape and all Balance Sheet accounts are supported by backup documentation. Your accounting staff can create what is called a lead sheet for all balance sheet accounts.
Get all audit work papers “audit ready” for your accountant by the first week of February, as the Financial Statements need to be filed with REAC by March 31 or March 30 if in a leap year.
With a new property, be sure the property is completely registered in the HUD system well before the financial statement reporting time deadline.
On section 8 housing, be sure you have reviewed all your tenant files for accuracy before your auditor asks to see them.
Be sure you have read your Regulatory Agreement and understand it. Too many clients neglect this step and find themselves in serious trouble for not adhering to all the agreements they have made with HUD. If you have any questions about your agreement, please contact Wilson & Associates.
For section 8 Housing, be sure you hire a competent property manager who is familiar with Section 8 housing and the voucher subsidy system. Good Property Managers familiar with section 8 housing will have competent staff who are trained with filing voucher subsidy requests, plus handling all the complicated paperwork necessary for a Section 8 housing project.
Have a dedicated Company Officer work with the external auditor and answer all questions in a timely fashion.
Be sure you respond to any requests from the Contract Administrator in a timely fashion as these can overwhelm an onsite property manager who is not experienced in Section 8 housing.
Make sure all REAC access to your financial statement file is obtained well before the REAC financial statement date filing deadline, as the process can be time consuming. Get your REAC filing started early because since most Financial Statements are filed the week before the filing deadline.
Use HUD chart of Accounts when you can.