DESCRIPTION Establishes the Mutual Mortgage Insurance Fund for Requires a mortgage insured under section 203 be DISPOSITION IN REVISED NATIONAL 7. In addition, the following terms not defined 8. The meaning of the term "advances" is broadened to No similar provision. This fund is not used for any Contained in sec. 401. Contained in sec. 401(a). Sec. 2(b) provides general Contained in sec. 2(a). This general authority to approve mortgagees is made applicable to all mortgage and loan insurance authorities contained in the RNHA. 2. Requires that the principal obligation of 97% of the first $15,000 of appraised 90% of value between $15,000 and $25,000; DISPOSITION IN REVISED NATIONAL 1. No statutory dollar limits on maximum mortgage NHRA). 66-138 O-71 pt. 1 29 Section of National Housing Act (NHA) 203 (b)(2) continued 203(b)(2) 203 (b)(3) 203(b)(4) 203(b)(5) Permits 1 or 2-family properties to be rented temporarily for school purposes. Requires that the term of the mortgage not exceed 35 years (or 30 years if the mortgage covers new property not approved for insurance prior to construction) or, if lesser, 3/4 of the remaining economic life of the building improvements. Requires the mortgage to contain amortization provisions satisfactory to the Secretary and within the ability of the mortgagor to meet. Prescribes a maximum interest rate of 6% (but Secretary has temporary authority pursuant to P.L. 90-301 until Jan. 1, 1972, to establish higher rates when necessary to meet the mortgage market. DISPOSITION IN REVISED NATIONAL For new homes not approved prior to construction, maximum mortgage amount is 85 percent of what it otherwise would be. Sec. 401(a)(1). Sec. 4 gives No statutory maximum interest rates. the Secretary permanent authority to establish interest rates to meet the market for all mortgage and loan insurance programs. In addition, sec. 102 of the 1970 HUD bill provides for an alternative experimental "free-rate" (until July 1, 1973) if no discounts are charged. Sec. 4 makes clear that interest rates established by the Secretary could differ for different programs and for different mortgages and loans under the same program. DESCRIPTION Requires, to the satisfaction of the Secretary, Requires the mortgage to contain satisfactory terms with respect to insurance, repairs, etc. Requires the loan-to-value ratios contained in sec, 203(b)(2) to be reduced by 15% for nonOccupant mortgagors, unless the mortgagor and mortgagee agree to reduce the mortgage amount by 15% if the property is not sold to an owneroccupant before the due date of the 18th amortization payment. Requires a minimum downpayment of 3% of acquisi- (1) no minimum downpayment is required with (1) Authorizes Secretary to fix mortgage insur- Minimum downpayment is an amount equivalent to closing costs (exclusive of prepaid expenses). Sec. 401 (X3). No similar provision. 1. 2. No similar provision. 1. Contained in sec. 202 (a) for all programs, but no minimum or maximum percentages. Section of National Housing 203 (b)(2) 203(b)(2) 203 (b) (3) 203(b)(4) 203(b)(5) Permits 1- or 2-family properties to be rented temporarily for school purposes. Requires that the term of the mortgage not exceed 35 years (or 30 years if the mortgage covers new property not approved for insurance prior to construction) or, if lesser, 3/4 of the remaining economic life of the building improvements. Requires the mortgage to contain amortization provisions satisfactory to the Secretary and within the ability of the mortgagor to meet. Prescribes a maximum interest rate of 6% (but Secretary has temporary authority pursuant to P.L. 90-301 until Jan. 1, 1972, to establish higher rates when necessary to meet the mortgage market. DISPOSITION IN REVISED NATIONAL HOUSING ACT (RNHA) For new homes not approved prior to construction, maximum mortgage amount is 85 percent of what it otherwise would be. Sec. 401(a)(1). No similar provision. This provision is obsolete. Secretary establishes term of mortgage. Sec. 401 (b)(2). Contained in Sec. 401(b) (2) No statutory maximum interest rates. Sec. 4 gives the Secretary permanent authority to establish interest rates to meet the market for all mortgage In addition, sec. 102 and loan insurance programs. of the 1970 HUD bill provides for an alternative experimental "free-rate" (until July 1, 1973) if no discounts are charged. Sec. 4 makes clear that interest rates established by the Secretary could differ for different programs and for different mortgages and loans under the same program. |