24 C.F.R. § 200.1510
§ 200.1510 Probation. (24 CFR Part 200)
Operative Text
(a) In general. Only the MAP Lender Review Board (or Board) may place a lender on probation, in accordance with the procedures of § 200.1535. (b) Effect of probation. (1) Probation is intended to be corrective in nature and not punitive. As a result, release from probation is conditioned upon the lender meeting a specific requirement or requirements, such as replacement of a staff member. A lender's failure to take prompt corrective action after being placed on probation may be the basis for a recommendation of either suspension or termination. Any such recommendation shall, when possible, go to a MAP Lender Review Board composed of the same members who issued the original probation. (2) During the probation period, a MAP lender: (i) Shall be removed from the MAP-Approved Lender list posted on HUD's website; (ii) May not submit, and HUD may not accept, materials after the close of business of the date of the probation letter for a new application under MAP for multifamily mortgage insurance from HUD; and (iii) May continue to process any existing application for multifamily mortgage insurance submitted to a Multifamily Hub or Program Center before the date of the probation letter. (3) The MAP Lender Review Board may impose a higher level of review of the lender's underwriting by HUD; (4) Probation is nationwide in effect. (c) Duration of probation. (1) Probation continues until all specific corrective actions required by the MAP Lender Review Board (for example, exclusion of a specific staff member from work on MAP loans) are taken by the MAP lender. When all corrective actions have been taken, the MAP lender shall notify the Board. Once the Board is satisfied that the corrective actions have occurred, the probation period shall end. (2) A false statement that corrective action has been taken constitutes a false certification and may constitute a violation of 18 US.C. 1001. (3) When probation is lifted, the lender's name shall be promptly reinstated on the MAP-Approved Lender list posted on HUD's Web site.
Under 24 CFR Part 200 § 200.1510, the MAP Lender Review Board holds exclusive authority to place a Multifamily Accelerated Processing (MAP) lender on probation. Probation is designed as a corrective measure, not a punishment, and it carries immediate, nationwide consequences: the lender is removed from HUD's publicly posted MAP-Approved Lender list and cannot submit new applications for multifamily mortgage insurance. Probation ends only when the lender completes all specific corrective actions required by the Board and the Board confirms those actions have been satisfied, at which point the lender is reinstated on the approved list.
Plain English — not legal advice.
For property owners and developers seeking FHA-insured multifamily financing, § 200.1510 is relevant because a lender's probation status directly affects whether that lender can process new loan applications on your behalf. Compliant MAP lenders generally monitor their standing on HUD's MAP-Approved Lender list and maintain staffing and underwriting practices that satisfy Board requirements, ensuring uninterrupted ability to submit applications. Operators working with MAP lenders may wish to verify a lender's current approval status on HUD's website before initiating a new application, since a lender placed on probation under § 200.1510 cannot accept new MAP submissions during that period.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
While § 200.1510 primarily governs lender oversight rather than tenant rights directly, it is part of the regulatory framework that shapes the availability and integrity of HUD-backed multifamily housing financing. Tenants living in properties financed through HUD multifamily mortgage insurance programs may find it useful to understand that HUD maintains oversight mechanisms over the lenders involved in those transactions. Tenants with concerns about their housing or the financing behind it can consult HUD's website for lender approval status information, reach out to a local tenant-rights organization, or contact HUD directly to learn about available resources under the broader 24 CFR Part 200 framework.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated September 4, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
Effective Timeline
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