HUD insures lenders against loss on mortgage loans.
All persons intending to occupy the property are eligible to apply.
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 E.O. 12372. Application is submitted for review and approval or disapproval to the local HUD Field Office through a HUD- approved lending institution. HUD will state the reasons for refusing an application. The applicant may reapply subject to concurrence of the lender.