National Standards for the Physical Inspection of Real Estate (NSPIRE)

Due to regulations or improvements, Asset Management reference information may be updated from time to time. Please check back frequently to ensure you are utilizing the most recent guidance. Additionally, please check our Notices page for updates from time to time.

Missouri Housing Development Commission (MHDC) is responsible for conducting operational management audits and physical inspections for our participating developments. These assignments consist of occupancy reviews, tenant file management (for initial participant eligibility and continued eligibility), physical asset management, and general program compliance. MHDC reserves the right to conduct a review of any building to examine all records pertaining to program compliance for our participating developments throughout the extended use period of the buildings in the project.  

The physical inspection component is based on the National Standards for the Physical Inspection of Real Estate (NSPIRE) (24 CFR 5.703), as provided by HUD. NSPIRE inspection is required for every FHA-insured loan or Section 8 property with a HUD or MHDC-administered HAP contract.  Additionally, as of October 1, 2023, MHDC implemented HUD’s National Standards for the Physical Inspection of Real Estate (NSPIRE) as the official inspection protocol for compliance and ongoing maintenance for our participating developments. Please be advised that owner/management agents are responsible for adhering to NSPIRE inspection guidelines. MHDC compliance officers will verify compliance with these requirements during inspections. MHDC highly recommends owner/management agents obtain ongoing NSPIRE training.

HUD NSPIRE reference (https://www.hud.gov/program_offices/public_indian_housing/reac/nspire):

“The new NSPIRE model prioritizes health, safety, and functional defects over appearance. It implements inspections that better reflect the true physical conditions of the property. The NSPIRE model supports the adoption of sound, year-round maintenance practices.

NSPIRE Standards

HUD’s approach to standards development follows a clearly defined core set of principles: people-centered design, a focus on efficiency, science-based rationales, continuous collaborative improvement, and streamlined operations. HUD welcomes input from property owners and agents, public housing agencies, residents, technical experts, and other members of the public. Your feedback is critical to the success of NSPIRE and the well-being of the residents HUD serves.”

NSPIRE Resources

https://www.hud.gov/program_offices/public_indian_housing/reac/nspire/resources

HUD has published the notices, rules, and proposed rules pertaining to NSPIRE in the Federal Register.