NFR s Synopsis of The MBA Reference Guide for Commercial

							                                NFR’s Synopsis of
     The MBA Reference Guide for Commercial and Multifamily Property Inspections

Please review the MBA’s entire Reference Guide for Commercial and Multifamily Property Inspection
Reports (2008 revision) before completing your first inspection. This can be found by going to
www.nationalfieldreps.com and selecting "Links" and then clicking on "MBA Reference Guide for
Commercial and Multifamily Property Inspection Reports (2008 revision)".


Servicer, Loan and Contact Information
This section will have several areas that are pre-populated. The inspector should fill in the Contact
Company, Name, Phone, and Email. Also note that in this section there is a field for the Overall Property
Rating. The property ratings have been changed. Excellent, Good, Fair, and Poor are no longer the scale
being used. This field should be filled with a number rating, 1-5. Please see pg. 10-13 of the reference
guide for further explanation of the required fields and a detailed explanation of the new rating scale.


Property and Inspector Information
This section will also have fields that are pre-populated. Please note that there are three fields that are
highlighted in blue: Property Name, Property City, and Property State. Once this information has been
entered the shading will disappear and other areas of the form that require this information will be auto
populated. The shading is not isolated to this section. There will be other areas of the form where this is
used. Please see pg.13-14 of the reference guide for the further explanation of this section and fields
required.
          Lender’s or Servicer’s General Comments or Instructions to the Inspector-
This is a free text field that may be filled with special instructions or items of repair / deferred maintenance
that needs to have special attention at the inspection. Photographs and documentation of the issue(s) or
repair(s) will need to be included with the inspector’s report.

          Property Inspector’s General Comment or Suggestions to Lender or Servicer-
This is a free text field that should be filled with a recap of any deferred maintenance/ health and safety
concerns noted at the property.

Overview of Property Information
This section will provide the Lender/Servicer an overview of the subject property. Information regarding
the property’s occupancy, square footage, number of buildings, units, and capital improvements is a
sampling of the information that is required. Please see pg. 15-17 of the reference guide for further
explanation of this section and fields required.

Please note when completing the Capital Expenditure section PLEASE only fill in the Identified Cost if
management provides this information directly to you. A guess or approximation based on your visual
observation is NOT required.

Neighborhood and Site Comparison
This section requires the inspector to observe the immediate area of the subject property (1-3 miles). The
inspector should identify two properties that compete with the property including the distance from the
subject. The percent use is a break down of what the surrounding area is comprised of. This should always
total to 100%. Please see pg. 17-18 of the reference guide for further explanation.

Management Company Information
This section provides the Lender/Servicer with the Management contact information. Please see Pg. 18-19
of the reference guide for further explanation.
Physical Condition and Deferred Maintenance
This tab breaks the property down into 11 areas that are to be assessed individually using the new rating
scale. The new rating scale is a number scale from 1-5. A rating of 1 represents an item with no deferred
maintenance and in like new condition. A rating of 5 represents an item with severe deferred maintenance
and/or health and safety concerns. Please see pg. 10-11 of the reference guide for further explanation of the
ratings scale.

         Exterior and Interior-
These are two free text fields that should describe in detail the exterior and interior characteristics of the
property. Comment on positive aspects of the property along with any deferred maintenance or other issues
observed.
         Deferred Maintenance Grid-
When deferred maintenance is present at a property this grid should be utilized. An explanation of the
deferred maintenance item along with its location is required. Also note if the deferred maintenance items
are major or minor. See pg. 22-23 for characteristics of each (major vs. minor). The Estimated Cost
Section should ONLY be completed if provided by the manager. An approximation based on your visual
observation is NOT required. See Pg. 21-23 of the reference guide for further explanation.



Additional Tabs
Based on the property type and inspection type additional tabs may be required. Additional tabs are
required if the property is a Multifamily, Healthcare, FNMA, or FMAC. The Management Interview tab
will be per customer request. You will be provided the required tabs per property type with the request.

Multifamily-
This tab will be utilized for Multifamily, Mobile Home Parks, Cooperative Housing, and Student Housing.
See pg. 29-34 of the reference guide for further explanation of this section.

Healthcare-
This tab will be utilized for all Healthcare, Nursing Homes, and Hospitals. See pg. 35-41 of the reference
guide for further explanation of this section.

Management Information and Interview-
This tab will be required per customer request. Please read through your specific customer requirement
instructions provided with the inspection to see if this section is required. Please note if this section is
required it may be completed one of two ways; a copy may be sent to the manager before the inspection or
it may be completed as an actual interview at the time of the inspection. See. Pg. 25-28 of the reference
guide for further explanation.

Comprehensive Assessment Addendum-
This tab will only be utilized for a FNMA or FMAC inspection. This section is similar to the current
Fannie Mae 4260 form. Please note that the rating scale in this section is different then the rating scale
used in the rest of the sections on the form. See pg. 45-46 for further explanation.