Mortgage Insurance-Homes-Military Impacted Areas

 

To help families undertake home ownership in military impacted areas.

Deleted 08/20/2009 (Archived.) 14.165 HOUSING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Guaranteed/Insured Loans. Because of the small number of loans in any given year, the data is included in the number of loans insured under Section 203(b). National Housing Act, as amended, Section 238(c), Public Law 93-383, 42 U.S.C. 3535(d). All families intending to occupy the property are eligible to apply. The requirements will vary with the Section under which the loan is insured. Section 203(b) requirements are outlined below. Individuals/families. Documentation regarding the characteristics of the property and the qualifications of the mortgagor are assembled by the mortgagee and submitted with the application. This program is excluded from coverage under OMB Circular No. A-87. None. This program is excluded from coverage under E.O. 12372. Application is submitted for review and approval or disapproval to the local HUD Field Office through a HUD- approved lending institution. This program is excluded from coverage under OMB Circular Nos. A-102 and A-110. See Application Procedure. None. Varies. HUD will state the reasons for refusing an application. The applicant may reapply subject to concurrence of the lender. Not applicable. Not applicable. HUD insures lenders against loss on mortgage loans. These loans may be used to finance the purchase of proposed, under construction, or existing one - to four-family housing, as well as to refinance indebtedness on existing housing. Maximum loans for an occupant mortgagor are the same as prescribed for Section 203(b). Mortgages may be insured under any section of Title II pursuant to Section 238(c) provided the property is located in areas designated by the Secretary of Defense as military impacted areas. Defaults in meeting the mortgage term must be reported. All approved mortgagees at any time upon request by HUD must furnish a copy of their latest financial statement. The Department of Housing and Urban Development reserves the right to audit the account of the mortgagee to determine its compliance and conformance with HUD regulations and standards. Mortgagees are required to service and maintain records in accordance with acceptable mortgage practices of prudent lending institutions and the HUD regulations. The maximum amount of the loan is the same as under Section 203(b) - program 14.117. The downpayment is the difference between the maximum loan amount and the purchase price of the home. In addition to the downpayment, the purchaser must pay for all items of prepaid expense. The mortgage insurance premium is 1/2 of 1 percent. The origination charge by the mortgagee varies, but may not exceed one percent of the total mortgage. The mortgage term may extend for 30 years, except 35 years if the mortgagor is unacceptable under a 30-year term and the property was constructed subject to HUD or VA inspection. Persons are encouraged to contact the Homeownership Center serving their State, or the nearest local HUD Office. See Catalog Address Appendix IV for a list of Offices. None. http://www.hud.gov80/progdesc/snglindx.cfm 86-4077-0-3-371. (Mortgages insured) Reported under program 14.133. See Uses and Use Restrictions. "Home Mortgage Insurance," no charge; Fact Sheet "HUD-FHA Program for Home Mortgage Insurance," no charge; 24 CFR 203.1 et seq. Not applicable.