1971 Housing and Urban Development Legislation, Hearings Before the Subcommittee on Housing and Urban Affairs ..., 92:1- ....

Contains provisions dealing with the Cooperative
Management Housing Fund, a mutual fund.

DISPOSITION IN REVISED NATIONAL
HOUSING ACT (RNHA)

4. Same, but extended term permitted in discretion of Secretary with no specified preconditions. Sec. 504(a), (c)(2).

Contained in sec. 201(c).

(0)

1. Contained in sec. 3, which would accommodate higher costs in these areas by authorising the Secretary to establish maximum mortgage limits in various housing market areas in accordance with cost levels in the area.

Authorizes Secretary to issue insurance commitments
even though permanent mortgage financing is not
insured under the NHA, but additional application
fee may be charged.

Waives any owner-occupant requirements with
respect to mortgagors entering military service.
Provides an expiration date for most of the pro-
visions of the NHA.

DISPOSITION IN REVISED NATIONAL HOUSING. ACT. (RNHA)

and

No similar specific provision, but general authority for Secretary to issue commitments sec. 2(b) to charge fees authority.

sec. 203(a) provides similar

66-138 - 71 pt. 1 -- 30

Home and multifamily mortgages covering property
in urban renewal and concentrated code enforcement

Contained in sec. 1. See discussion under sec. 201 of
NHA.

1.

2.

4. Prescribes maximum home mortgage amounts
(identical to sec. 203 (b) amounts, but
extend beyond 4-family units).

5. Prescribes loan-to-value ratios (same as for
sec. 203(b), except applied against "replace-
ment cost" with respect to new construction
rather than "appraised value").

6. Where repair or rehabilitation by the owner-
occupant is involved, requires the loan-to-
value ratios to be based on the sum of the
estimated cost of the repair or rehabilitation
plus the value of the property before repair.
7. Requires mortgage amount to be reduced by 7%
(rather than 15% as under sec. 203) for non-
occupant lessors of homes. 15% if held by non-
occupant owner for sale by 18th amortization
payment.

8.

Where refinancing is involved with repair or
rehabilitation, limits the mortgage to cost of
repair plus amount of existing indebtedness.
9. Prescribes dollar limits on multifamily mortgage
amount and per unit mortgage amounts.

10. Multifamily mortgages:

requires mortgage amount not to exceed 90%
of replacement cost;

authorizes insurance with respect to new
construction or rehabilitation (with or
without refinancing) and limited category
of existing housing without rehabilitation
(housing which had been rehabilitated with
Federal assistance by local renewal
agencies).

3.

DISPOSITION IN REVISED NATIONAL HOUSING ACT (RNHA).4

Contained in sec. 501 (b), but no distinction among mortgagors is made and no reference to $100 stock or other interest in the mortgagor. 4. No statutory maximum mortgage amounts. The se

limits would be established by the Secretary for each housing market area. Sec. 3.

5. See discussion under appropriate heading of sec. 203(b). The use of the term "replacement cost"

6.

in the statute is not necessary for appraisals to reflect renewal activities.

Same in discretion of Secretary. Sec. 401 (b)(1).

7. 15% reduction, unless sold to owner-occupant by 18th amortization payment. Sec. 401(d)(2).

8. No similar statutory limitation.

No project limit on multifamily mortgage amount. Per unit mortgage limits are administratively established pursuant to sec. 3.

Contained in sec. 501.

11.

DESCRIPTION

Authorizes a 10% builder's and sponsor's profit
and risk allowance to be included in the
mortgage. (where mortgagor is builder).

12.. Authorizes multifamily projects to contain non-
dwelling facilities which serve the neighbor-
hood.

13. Provides that the home mortgage term be the same
as under sec. 203(b).

14. Authorizes the Secretary to prescribe the term
of a multifamily mortgage.

15. Prescribes a maximum interest rate of 6%.

Authorizes mortgaged property to be released from the lien of the mortgage.

Incorporates by reference provisions of secs. 204
and 207 relating to insurance benefits plus more
favorable insurance benefits where a multifamily
mortgage is assigned to the Secretary to avoid
foreclosure.

This provision was repealed in 1965.

Authorizes property improvement loans homes and
multifamily projects. Up to 20 year terms and
$17,400 per unit. Avoids refinancing.

11.

DISPOSITION: IN REVISED NATIONAL HOUSING AQT RNHA)

Same in discretion of Secretary. Sec. 506(c) (2)

See discussions of secs. 204 and 207. More favorable
insurance benefits upon assignment of the mortgage
available for secs. 501 and 502 mortgages. Sec. 604
(d).

No similar provision. Can be partially accommodated under title III and sec. 504.

No separate provision. Can be accommodated under 401, 402, 501, and 502.

secs.

5. Where repair or rehabilitation by the owneroccupant is involved, requires mortgage amount not to exceed the cost of repair or rehabilitation plus the value of the property before repair or rehabilitation.

DISPOSITION IN REVISED NATIONAL HOUSING ACT (RNHA)

Contained in sec. 1, See discussion under sec. 201 of NHA.

sary.

2. No statutory maximum mortgage amounts. See sec. 3 3. No similar provision.

4. See discussion under appropriate headings for sec.
203(b) on loan-to-value ratios and minimum
downpayment.

5. Same in discretion of Secretary. Sec. 401(b)(1).

Books

1971 Housing and Urban Development Legislation, Hearings Before the ...