COS Cheat Sheet 2026

The 30 highest-yield COS facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. A family's gross rent is $900 and their Total Tenant Payment (TTP) is $650. What is the Housing Assistance Payment (HAP)? → $250
2. In HUD-assisted multifamily housing, what does 'gross rent' represent? → The contract rent plus the applicable utility allowance
3. What is the main purpose of the Fair Housing Act? → To ensure that all individuals have equal access to housing
4. Under HUD asset rules, when total net family assets exceed $5,000, which income figure must the owner use? → The greater of actual asset income or imputed income
5. What role do standard operating procedures play in COS Property Management Practices? → Ensuring consistency and quality through documented instructions
6. What can an individual do if they believe they have experienced housing discrimination? → File a complaint with HUD or a local fair housing agency
7. A tenant's utility allowance is $150 and their Total Tenant Payment is $100. What is the result? → The owner must pay the tenant a $50 utility reimbursement
8. How long must owners retain tenant files after a tenant vacates in HUD multifamily programs? → 3 years
9. Which of the following would NOT be considered a violation of the Fair Housing Act? → Setting a lower rent for elderly tenants
10. Why is it necessary to have a written lease agreement? → It provides a legal record of the agreed-upon terms for both parties
11. What type of recertification is triggered by a significant change in a tenant's income or family composition between annual recertifications? → Interim Recertification
12. Which income type is INCLUDED in annual income under HUD 4350.3? → Net income from a family business
13. What is the purpose of a waiting list in housing programs? → To prioritize applicants and manage housing availability
14. Why is it important to account for non-wage income when calculating eligibility for housing programs? → To ensure that all sources of income are considered for eligibility
15. How is the Housing Assistance Payment (HAP) calculated when a tenant pays their own utilities? → HAP = Gross Rent minus TTP
16. What does the Fair Housing Act prohibit in the leasing process? → Discrimination based on race, religion, or other protected classes
17. Self-employment income is calculated for HUD purposes as: → Net income after business expenses
18. What minimum notice must owners provide tenants before the annual recertification interview or deadline? → 30 days
19. What does 'subsidy layering' refer to in HUD multifamily programs? → Combining multiple federal, state, or local subsidies for a single project
20. What HUD handbook primarily governs occupancy requirements for subsidized multifamily housing programs? → HUD Handbook 4350.3
21. What is typically required from both parties in a lease agreement under fair housing regulations? → Equal treatment for all applicants and tenants
22. What is the importance of continuing education for COS professionals in Marketing & Sales Strategies? → Maintaining current knowledge and adapting to industry changes
23. What is peer review in COS Real Estate Law & Regulations? → Quality evaluation by qualified colleagues for improvement
24. A household member stops working temporarily due to illness and will return in 3 months. How should their income be calculated? → Annualize anticipated income based on expected return-to-work wages
25. A property's 'Debt Service Coverage Ratio' (DSCR) of 1.0 indicates what financial condition? → Net operating income exactly equals the annual debt service obligation
26. What must an owner do when a current tenant's income rises above the very low-income limit for their program? → Follow HUD's over-income tenant policies, which typically adjust rent contributions
27. What is the purpose of calculating an applicant’s adjusted income for rent determination? → To accurately assess the applicant’s rent burden and ability to pay
28. What is a needs assessment in COS Property Management Practices practice? → Identifying gaps between current conditions and desired outcomes
29. What is the formula typically used to determine rent in income-based housing programs? → Rent is calculated as a percentage of adjusted income, typically 30%
30. What is the purpose of a Tenant Selection Plan in HUD-assisted properties? → To document the owner's written policies for selecting applicants fairly and consistently