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SAR 95 - HUD OIG Semiannual Report to Congress for the period October 1, 2025, through March 31, 2026

HUD OIG has released its latest Semiannual Report to Congress, highlighting oversight work conducted from October 1, 2025, through March 31, 2026.

The report reflects HUD OIG’s continued efforts to strengthen HUD programs, protect taxpayer dollars, and promote accountability through investigations, audits, evaluations, and oversight initiatives across the country.

HUD Did Not Pursue Repayment for Improper Payments on Claims Without Conveyance of Title

We audited the U.S. Department of Housing and Urban Development (HUD), Federal Housing Administration (FHA) Claims Without Conveyance of Title (CWCOT) program.  We selected this review to assist HUD in recovering improper payments and to reduce the risk of losses to the FHA insurance fund. The objective of our audit was to assess whether HUD is appropriately demanding and collecting improper payments identified for CWCOT loans by its Mortgagee Compliance Manager (MCM). 

Evaluation of REAC Inspections

HUDOIG is conducting an evaluation of inspection results for HUD-assisted properties for the Office of Multifamily Housing Programs and the Office of Public and Indian Housing. Congress directed OIG to analyze REAC inspections that occurred over the past year. Our evaluation objectives are to 1. Analyze inspection results and deficiencies for Multifamily and PIH properties with final NSPIRE scores of 60 to 70 and compare them with inspection results for those with final NSPIRE scores below 60; 2.

Interim Results on PHA Crime Prevention and Tenant Eligibility Determinations

Our office is currently conducting three audits of crime prevention and eligibility determinations at Public Housing Authorities (PHA) in Washington, DC; Chicago; and Los Angeles.  The objective of our audits is to (1) determine whether the Authority complied with HUD’s and its own requirements for verifying eligibility of individuals for HUD-assisted housing based on criminal activity, citizenship, and immigration status, and (2) evaluate the Authority’s practices for preventing and addressing criminal activity.