Affordable Housing
Audit, tax, and compliance for affordable housing — HUD Sections 202, 207, 811, and Section 8, LIHTC (Section 42) cost certifications, and RAD conversions, for owners, developers, and housing authorities nationwide.
Overview
From our Cleveland, Ohio headquarters, Pease Bell, CPAs serves affordable housing owners, developers, syndicators, and housing authorities across all 50 states. Affordable housing sits at the intersection of federal subsidy, tax credits, and strict compliance, where a single reporting misstep can put funding at risk.
We audit and report on properties financed and subsidized under HUD and Treasury programs, including HUD Section 202 Supportive Housing for the Elderly, Section 207 and 223(f) insured multifamily mortgages (HUD-207 loans), Section 811 Supportive Housing for Persons with Disabilities, Section 8 Project-Based Rental Assistance, and Low-Income Housing Tax Credit (Section 42 / LIHTC) developments. We also guide housing authorities through RAD conversions as public housing moves into project-based Section 8 and for-profit Section 42 structures.
Whether you own a single property or a national portfolio, we help you stay audit-ready and compliant with each program's requirements.
How we help affordable housing owners & developers
Integrated audit, tax, and compliance support across the HUD and tax-credit programs that fund affordable housing.
HUD-Insured Multifamily Audits
Annual audited financial statements for HUD-insured multifamily properties, including Section 207 and 223(f) (HUD-207) loans, prepared under the HUD Consolidated Audit Guide with surplus-cash calculations and the schedules HUD requires.
Section 202 & 811 Supportive Housing
Audit and financial reporting for HUD Section 202 Supportive Housing for the Elderly and Section 811 Supportive Housing for Persons with Disabilities, including the capital advance and project rental assistance (PRAC/PBRA) reporting these programs carry.
Section 8 Project-Based Rental Assistance
Financial reporting and compliance support for properties with Section 8 Housing Assistance Payment (HAP) contracts, aligning your audited statements with project-based rental assistance requirements and annual submission deadlines.
LIHTC (Section 42) Cost Certifications
Independent cost certifications and audits for Low-Income Housing Tax Credit (Section 42 / LIHTC) developments, verifying eligible basis and development costs and supporting the schedules your state agency and tax-credit investors require.
RAD Conversion Support
Accounting and transition support for Rental Assistance Demonstration (RAD) conversions, as housing authority properties move from public housing funding into project-based Section 8 and for-profit Section 42 tax-credit structures.
REAC / FASS Submissions & Single Audits
Preparation and electronic filing of audited statements through REAC and FASS, plus Uniform Guidance single audits for housing authorities and nonprofits expending federal housing awards.
The affordable housing programs we work across
Each program carries its own audit, certification, and compliance requirements. We work across the full range so owners, developers, and housing authorities can keep every property in good standing.
- ✓HUD Section 202 — Supportive Housing for the Elderly, including capital advance and project rental assistance reporting for senior housing.
- ✓HUD Section 207 / 223(f) — FHA-insured multifamily mortgages (HUD-207 loans) with annual audited financial statements and surplus-cash reporting.
- ✓HUD Section 811 — Supportive Housing for Persons with Disabilities, with its own subsidy and compliance reporting obligations.
- ✓Section 8 — Project-Based Rental Assistance and Housing Assistance Payment (HAP) contracts tied to audited financial reporting.
- ✓Section 42 / LIHTC — Low-Income Housing Tax Credit developments requiring cost certifications and ongoing compliance audits.
- ✓RAD conversions — housing authority properties converting to project-based Section 8 or for-profit Section 42 and HUD-subsidized entities.
Who we serve
We work with the range of organizations whose financing and subsidies carry affordable housing reporting obligations, from single-asset entities to multi-state portfolios.
- ✓Affordable housing owners & operators — HUD-insured and HUD-subsidized properties under Sections 202, 207, 811, and Section 8.
- ✓LIHTC developers & syndicators — Section 42 tax-credit projects requiring cost certifications and investor-facing reporting.
- ✓Public housing authorities — organizations navigating RAD conversions and the move to project-based Section 8 and tax-credit structures.
- ✓Nonprofit housing sponsors — mission-driven developers of senior, supportive, and family affordable housing subject to single audits.
- ✓Investors & lenders — stakeholders who rely on credible audited statements and cost certifications before committing capital.
Why affordable housing clients choose Pease Bell
Deep HUD and tax-credit experience
We know the HUD Consolidated Audit Guide, REAC/FASS mechanics, and LIHTC cost-certification requirements first-hand, so engagements move efficiently and submissions clear without avoidable findings.
Audit and tax under one roof
Program audits, cost certifications, partnership tax, and entity structuring sit in one firm, so reporting and tax decisions stay coordinated across the life of a project rather than siloed across providers.
Full service, boutique touch
A Top 200 firm with 150+ professionals serving clients in all 50 states, delivered with the direct partner access and responsiveness of a boutique practice.
Our affordable housing engagement approach
A structured process built around each program's deadlines, certifications, and electronic submission requirements.
Step 1
Scope & plan
We confirm which HUD and tax-credit programs apply to your properties, map filing deadlines and certification requirements, and identify the schedules each engagement needs before fieldwork begins.
Step 2
Audit & certify
We perform the audit under the applicable standards, prepare LIHTC cost certifications where required, calculate surplus cash, and build the statements and schedules in the format each program expects.
Step 3
Submit & follow through
We file through REAC/FASS and to state agencies and investors on schedule, support owner and management certifications, and stay available for follow-up so issues are resolved quickly and cleanly.
Featured Insights
Affordable housing insights from our team
Practical guidance on HUD audits, tax-credit cost certifications, and the compliance rules that govern federally assisted housing.
- LIHTC
LIHTC cost certification: what CPAs verify and the new 25% testWhat an independent Section 42 cost certification covers for tax-credit projects.
- Section 8 / HOTMA
HOTMA compliance deadline 2027: what owners must doIncome and compliance changes affecting HUD-assisted and Section 8 properties.
- HUD audit guide
HUD Consolidated Audit Guide: what the revision means for ownersHow audit guide changes affect HUD-financed and HUD-subsidized owners.
- REAC / FASS
REAC submission under the single audit thresholdHow the reporting threshold affects multifamily REAC/FASS submissions.
- Filing deadlines
Section 232 audited financials: the 90-day filing ruleA reference point for the annual filing windows that apply across HUD programs.
- HUD financing
HUD-financed properties: post-closing compliance guideOngoing reporting obligations once a HUD mortgage closes.
Affordable housing accounting FAQs
What affordable housing programs does Pease Bell work with?
We audit and report on properties across the major HUD and tax-credit programs, including HUD Section 202 Supportive Housing for the Elderly, Section 207 and 223(f) insured multifamily mortgages (HUD-207 loans), Section 811 Supportive Housing for Persons with Disabilities, Section 8 Project-Based Rental Assistance, and Low-Income Housing Tax Credit (Section 42 / LIHTC) developments. We also support housing authorities through RAD conversions. The exact requirements depend on your program and financing, which we confirm during engagement scoping.
What is a LIHTC (Section 42) cost certification?
A LIHTC cost certification is an independent CPA verification of the eligible development costs of a Low-Income Housing Tax Credit (Section 42) project. It supports the eligible basis used to calculate the credit and the schedules required by the state housing agency and tax-credit investors. We verify costs against supporting documentation and prepare the certification in the format your agency and investors require, so the credit allocation rests on defensible numbers.
Do HUD-202, 207, 811, and Section 8 properties need an annual audit?
Generally, yes. Owners of HUD-insured and HUD-subsidized properties — including Section 202, Section 207/223(f), Section 811, and Section 8 project-based assistance — are typically required to file annual audited financial statements under the HUD Consolidated Audit Guide, submitted electronically through REAC and FASS. The precise requirement depends on your program, loan type, and level of federal awards, which we confirm when we scope the engagement.
What is a RAD conversion and how does it affect accounting and reporting?
RAD — the Rental Assistance Demonstration — lets public housing authorities convert public housing units to long-term, project-based Section 8 rental assistance, often paired with Low-Income Housing Tax Credit (Section 42) equity. The conversion changes how a property is financed, owned, and reported, moving it into HUD-subsidized or for-profit tax-credit structures with new audit, cost-certification, and compliance obligations. We help housing authorities and their partners plan the transition and stand up the reporting the new structure requires.
What is the difference between LIHTC and HUD rental assistance programs?
They are different tools that are often layered on the same property. LIHTC (Section 42) is a federal tax credit administered through the IRS and state agencies that finances the development of affordable housing by rewarding investors with credits. HUD rental assistance programs — such as Section 8, Section 202, and Section 811 — subsidize the rents tenants pay so properties remain affordable to operate. Many affordable housing deals combine tax-credit equity with HUD subsidy, which is why coordinated audit and tax reporting matters.
Do you work with affordable housing clients outside Ohio?
Yes. Pease Bell is headquartered in Cleveland, Ohio and serves affordable housing clients in all 50 states. As a Top 200 U.S. CPA firm with 150+ professionals, we support single-property owners and multi-state portfolios alike, with experience across the HUD and tax-credit programs that apply nationwide — while keeping the direct partner access of a boutique practice.
Contact Us
Tell us about your properties or development and a member of our affordable housing team will be in touch.