reglab/statecodes huggingface dataset:
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.03 - Maryland Housing Fund-Revitalization Program › Section 05.06.03.03 - Definitions

Current through Register Vol. 51, No. 14, July 12, 2024
A. In this chapter, the following terms have the meanings indicated.
B. Terms Defined.
(1) "Act" means Housing and Community Development Article, Title 3, Subtitle 2, Annotated Code of Maryland, as amended.
(2) "Closing costs (financing)" means the credit report fee, survey fee, title examination, loan origination fee, title insurance fee, mortgage application fee, and the cost of the home inspection required in Regulation .04F of this chapter.
(3) "Closing costs (title)" means the attorney's fee, documentation and preparation fee, recording fee, State and local transfer tax, and documentary stamps.
(4) "Department" means the Department of Housing and Community Development.
(5) "Designated revitalization area" means an area within the State designated by the Secretary as a revitalization area, taking into account the operation in that area of a nonprofit housing agency or a nonprofit financial or housing counseling agency.
(6) "M.H.F." means the Maryland Housing Fund, and, when appropriate, its authorized officers or personnel.
(7) Mortgage.
(a) "Mortgage" means a written instrument evidencing or creating a lien against real property to provide collateral to secure the repayment of a debt.
(b) "Mortgage" includes a deed of trust.
(8) "Mortgagee" means the original lender under a mortgage and its successors and assigns.
(9) "Mortgagor" means the original borrower under a mortgage and the borrower's successors and assigns by operation of law or as approved by the Fund.
(10) Nonprofit Entity.
(a) "Nonprofit entity" means any organization exempt from taxation under the Internal Revenue Code of the United States, § 501(c).
(b) "Nonprofit entity" includes local development agencies and local development corporations, as defined in Housing and Community Development Article, §
											4-201, Annotated Code of Maryland, and organizations exempt by reason of charitable or public purpose.
(c) "Nonprofit entity" does not include limited dividend corporations or partnerships.
(11) "Prepaid expenses" means taxes, ground rent, hazard insurance, and M.H.F. premiums to be paid at closing.
(12) "Property" means an owner-occupied, one- to four-family residential property which meets the applicable standards set forth in Regulation .04B of this chapter.
(13) "Secretary" means the Secretary of Housing and Community Development or the Secretary's designee.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.03 - Maryland Housing Fund-Revitalization Program › Section 05.06.03.04 - General Terms and Provisions for Purchase and Purchase/Rehabilitation Loans

Current through Register Vol. 51, No. 14, July 12, 2024
A. Insurance Coverage. M.H.F. may insure:
(1) Up to 100 percent of a mortgage loan that finances the purchase, or the purchase and rehabilitation, of an eligible property, provided that all of the requirements of these regulations are met;
(2) A mortgage loan on a cooperative unit in accordance with COMAR 05.06.01.10C.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.03 - Maryland Housing Fund-Revitalization Program › Section 05.06.03.05 - Special Terms and Provisions for Purchase/Rehabilitation Mortgage Loans

Current through Register Vol. 51, No. 14, July 12, 2024
A. In addition to the general terms and provisions required under Regulation .04 of this chapter, the terms and provisions in B-----E of this regulation apply to M.H.F. insured mortgage loans that finance both the purchase and the rehabilitation of the property.
B. Standards for Rehabilitation Work. The rehabilitated property shall satisfy the:
(1) State and local planning, zoning, and building codes, and other applicable laws; and
(2) Standards established by M.H.F.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.03 - Maryland Housing Fund-Revitalization Program › Section 05.06.03.06 - Loans for Purchase and Purchase/Rehabilitation-Maximum Mortgage Amount

Current through Register Vol. 51, No. 14, July 12, 2024
A. Maximum Mortgage-----General Limit.
(1) The maximum mortgage loan amounts insured by M.H.F. under the Revitalization Program shall be within limits set from time to time by the Secretary.
(2) If the mortgage covers either acquisition only, or acquisition and minor cosmetic improvements excluding rehabilitation costs set forth in Regulation .04C(2) of this chapter, then the maximum mortgage may not exceed the maximum loan amount for a single family dwelling unit under the Maryland Mortgage Program (MMP) of the Community Development Administration.
(3) If the mortgage covers permitted rehabilitation costs, the maximum mortgage may not exceed the following limits:
(a) For a property containing one dwelling unit, the limit is 150 percent of the maximum loan amount for a single family dwelling unit under the Maryland Mortgage Program (MMP) of the Community Development Administration;
(b) For a property containing two dwelling units, the limit is 175 percent of the MMP limit for a single family dwelling unit;
(c) For a property containing three or four units, limits shall be determined by the Secretary on a case-by-case basis, taking into account:
(i) The public purpose being served,
(ii) Regional costs for this housing, and
(iii) Other factors considered appropriate by the Secretary.
(4) Maximum loan amounts may be adjusted periodically by determination of the Secretary to:
(a) Reflect the annual rate of inflation;
(b) Reflect the number of dwelling units in the property;
(c) Reflect the differing area property values;
(d) Respond to changes in average sales prices;
(e) Support State agency economic or community development initiatives; or
(f) Encourage innovative programs of M.H.F.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.03 - Maryland Housing Fund-Revitalization Program › Section 05.06.03.07 - Premiums

Current through Register Vol. 51, No. 14, July 12, 2024
Insurance fees for the Revitalization Program are as follows:
A. An initial premium of 2 percent of the initial loan balance; and
B. A renewal premium of:
(1) 0.65 percent of the initial loan balance for 9 annual renewals, and
(2) 0.325 percent annually from year 10 to maturity.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.03 - Maryland Housing Fund-Revitalization Program › Section 05.06.03.08 - Agreements with Mortgage Lenders

Current through Register Vol. 51, No. 14, July 12, 2024
A. Under conditions set forth in this regulation, M.H.F. may enter into agreements with mortgage lenders who wish to make insured mortgage loans under the Revitalization Program.
B. Each mortgage lender shall:
(1) Be an eligible mortgagee approved by M.H.F. under COMAR 05.06.01.04A; and
(2) Establish the Revitalization Program as a priority as evidenced by the mortgage lender's endorsement of the Program in its Community Reinvestment Act statement.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.03 - Maryland Housing Fund-Revitalization Program › Section 05.06.03.09 - Applicability of Other M.H.F. Regulations Under COMAR 05.06.06

Current through Register Vol. 51, No. 14, July 12, 2024
The following regulations under COMAR 05.06.06 apply to the Revitalization Program to the extent that their provisions do not conflict with these regulations for the Revitalization Program:
A. COMAR 05.06.06.03A, .06-----.08, .10, .11, .15, and .16;
B. COMAR 05.06.06.05A, except that COMAR 05.06.06.05DD does not apply to an insured mortgage that finances both the purchase and rehabilitation of the property securing the mortgage; and
C. COMAR 05.06.06.09D, except that COMAR 05.06.06.09C(6)  is subject to agreements between the Fund and insurers under the Revitalization Program.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.01 - General

Current through Register Vol. 51, No. 14, July 12, 2024
A. This chapter sets forth the policies and procedures for insurance by the Maryland Housing Fund of mortgage loans for the refinancing, purchase and rehabilitation, or construction of special housing facility projects.
B. The insurance reserve for this Program is the multifamily reserve fund established in accordance with COMAR 05.06.01.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.02 - Objective

Current through Register Vol. 51, No. 14, July 12, 2024
The objective of the Program is to provide insurance of mortgage loans made or purchased by the Community Development Administration to nonprofit organizations for the purpose of financing or refinancing special housing facility projects.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.03 - Scope

Current through Register Vol. 51, No. 14, July 12, 2024
This Program is intended to insure loans made or purchased by the Administration under its Special Housing Opportunities Program as contained in COMAR 05.04.11.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.04 - Definitions

Current through Register Vol. 51, No. 14, July 12, 2024
A. In this chapter, the following terms have the meanings indicated.
B. Terms Defined.
(1) "Act" means Housing and Community Development Article, Title 3, Subtitle 2, Annotated Code of Maryland.
(2) "Administration" means the Community Development Administration, an agency in the Division of Development Finance of the Department.
(3) "Default" means the failure of the sponsor to:
(a) Make required payments under the mortgage loan when due including any applicable grace period; or
(b) Perform any other obligation under the mortgage loan after the notice, lapse of time, and opportunity to correct, if any, which may be provided in the mortgage.
(4) "Department" means the Department of Housing and Community Development, a principal department of State government.
(5) "Director" means the Director of the Maryland Housing Fund.
(6) "Internal Revenue Code" means the Internal Revenue Code of 1986, as amended, and any applicable regulations promulgated under it.
(7) "Lender" means the Administration.
(8) "Maryland Housing Fund" or "the Fund" means the Maryland Housing Fund, an agency within the Division of Credit Assurance of the Department.
(9) "Nonprofit organization" means an organization:
(a) Whose organizational documents include among its charitable purposes the provision of housing to special needs populations; and
(b) Which is currently recognized by the Internal Revenue Service as a tax-exempt organization under §501(c)(3) of the Internal Revenue Code.
(10) "Program" means the Maryland Housing Fund mortgage insurance program of loans for special housing facility projects.
(11) "Project" means a special housing facility project within the meaning of the Act
(12) "Secretary" means the Secretary of Housing and Community Development.
(13) "Sponsor" means the borrower under a mortgage loan for a project and includes its successors and assigns by operation of law or as approved by the Maryland Housing Fund.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.05 - Eligible Loans-Generally

Current through Register Vol. 51, No. 14, July 12, 2024
A. Type of Loans. Loans made or purchased by the Administration under its Special Housing Opportunities Program, the proceeds of which are to be used to refinance, acquire, construct, or rehabilitate a project are eligible for mortgage insurance from the Fund.
B. Interest. Loans shall bear interest at not more than the rate approved by the Fund. The Fund may not insure a loan that provides for an increased interest rate upon default.
C. Payment. A sponsor is required to repay the loan in equal monthly payments of interest and principal in order that the loan is fully amortized over its term, except that if the term exceeds 30 years in accordance with §D of this regulation then, at the direction of the Administration, a sponsor may make initial payments of interest only for up to 18 months after the loan closing.
D. Term.
(1) Loans for permanent financing of projects shall contain amortization provisions satisfactory to the Fund for the complete amortization of the loan in monthly installments in 30 years or less, except that if the project is funded initially from a source other than proceeds of revenue bonds, then, at the direction of the Administration, a sponsor may make initial monthly payments of interest only for up to 18 months after the loan closing, followed by monthly principal and interest payments that will fully amortize the loan over a term of 30 years.
(2) Loans for construction or rehabilitation financing of projects are eligible for insurance of advances by the Fund. Insurance of construction loans is conditioned upon the existence of a commitment for permanent financing which is acceptable to the Fund.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.06 - Eligible Loans-Maximum Loan Amount

Current through Register Vol. 51, No. 14, July 12, 2024
A. For acquisition, construction, or rehabilitation loans, the maximum amount of any loan that may be insured by the Fund under the Program may not exceed the lesser of:
(1) 75 percent of the appraised market value of the project; or
(2) The total cost of the project.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.07 - Eligible Loans - Environmental and Insurance Conditions

Current through Register Vol. 51, No. 14, July 12, 2024
A. Environmental Conditions.
(1) Compliance with Law. The lender shall require the sponsor to certify that each mortgage loan to be insured by the Fund is in compliance with applicable local, State, and federal environmental laws and Regulations.
(2) Permits. Before loan closing, the sponsor shall secure any required permits from the Department of Natural Resources and the political subdivision in which the project is located.
(3) Screening and Investigation.
(a) The lender may be required, at the discretion of the Fund, to require a sponsor to have a screening of the proposed site conducted for environmental conditions, such as man-made hazards, storm water runoff, underground storage tanks, lead-based paint, radon gas, PCBs, asbestos, and other environmental hazards within the meaning of the environmental laws referred to in §A(1) of this regulation.
(b) If the initial screening indicates adverse or potentially adverse environmental conditions, the Fund may require a more detailed physical investigation, review of historical records, testing and treatment, or abatement of the environmental condition as a requirement of the mortgage insurance.
(4) Registration. For properties built before 1950, the sponsor shall keep the property registered with the Maryland Department of the Environment under Environment Article, Title 6, Subtitle 8, Annotated Code of Maryland.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.08 - Eligible Sponsors

Current through Register Vol. 51, No. 14, July 12, 2024
A sponsor shall meet all of the following requirements to qualify as an eligible sponsor of an insured mortgage:
A. Be a nonprofit organization;
B. Be in good standing and qualified to do business in Maryland;
C. Own, or upon closing of the loan will own, the property that secures the loan for which mortgage insurance is intended, and continue to own the property as long as the Maryland Housing Fund mortgage insurance is in force;
D. Have all necessary legal and corporate authority to incur the obligations of the loan;
E. Either:
(1) Be licensed to operate the project by the appropriate State agency, to the extent required by State law; or
(2) Have an agreement acceptable to the Fund, with a manager who:
(a) Is acceptable to the Fund,
(b) Is licensed in accordance with the requirements of §E(1) of this regulation, and
(c) Meets the requirements of §§A, B, F, G, H, and I of this regulation;
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.09 - Eligible Projects

Current through Register Vol. 51, No. 14, July 12, 2024
The lender may apply for mortgage insurance under the Program if the project meets the following minimum requirements:
A. The project is located in Maryland;
B. Title to the project is acceptable to the Fund;
C. The project:
(1) Conforms to applicable State and local building, zoning, health, and housing codes, or in cases of proposed construction or rehabilitation, will conform to those codes when completed, and
(2) Is in compliance with the requirements of any State agency or local government where the project is located governing special housing facility projects;
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.10 - Schedules of Premiums and Fees

Current through Register Vol. 51, No. 14, July 12, 2024
The Director, with the approval of the Secretary, shall establish schedules of premiums and fees for insurance of loans under the Program, as required by the Act.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.11 - Mortgage Insurance Conditions

Current through Register Vol. 51, No. 14, July 12, 2024
A. Appraisal.
(1) The Fund requires an appraisal report acceptable to the Fund, in its sole discretion, prepared by a qualified appraiser, before approval of any loan for mortgage insurance.
(2) An appraisal shall show the:
(a) Current market value of the property; and
(b) Expected value of the property after completion of the proposed improvements, if any.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.12 - Processing Procedures

Current through Register Vol. 51, No. 14, July 12, 2024
A. Application.
The lender shall submit a request for mortgage insurance in a form acceptable to the Fund.
B. Review.
(1) The Fund may review each application for a loan for which mortgage insurance is intended to determine whether it complies with this chapter and the insurance guidelines of the Fund.
(2) The Fund may delegate to the Administration authority to review one or more applications for insurance.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.13 - Claims Procedures

Current through Register Vol. 51, No. 14, July 12, 2024
A. Notification. In the event of a default on an insured mortgage, the lender shall notify the Fund in writing within 30 days of the default.
B. Preclaim Period.
(1) During the first 6 months after the loan is in default, the lender may not assign the mortgage loan and its rights under the mortgage to the Fund and make a claim for insurance unless it receives the prior written consent of the Fund.
(2) After the loan has been in default for 6 months, either the Fund or the lender may, without the written consent of the other, require filing of a claim and assignment of the loan to the Fund.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.14 - Claims Payment

Current through Register Vol. 51, No. 14, July 12, 2024
A. Limits.
(1) Coverage by the Fund does not include loss from:
(a) Casualty losses;
(b) Impaired title losses; or
(c) Default due to loss of tax-exempt status of the loan.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.15 - Books and Accounts

Current through Register Vol. 51, No. 14, July 12, 2024
A. The lender shall require the sponsor and its contractors and subcontractors to maintain such books, accounts, and records, and shall file with the lender such financial and other reports as the Fund from time to time may require.
B. The books, accounts, and records required by §A of this regulation to be maintained shall be open to the inspection of representatives of the Fund or other agencies of the State during reasonable working hours.
C. Books, accounts, and records of the sponsor shall be maintained and made available for inspection for 3 years past the date of termination of the contractual relationship between the borrower and the lender. Books, accounts, and records of contractors and subcontractors shall be maintained and made available for inspection for 3 years past the date of termination of the contractual relationships between them and the sponsor.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.04 - Special Housing Facility Projects › Section 05.06.04.16 - General Provisions

Current through Register Vol. 51, No. 14, July 12, 2024
A. Reinsurance. Mortgage loans insured by the Fund may be reinsured or coinsured by and with public or private mortgage insurers, or through federal guarantees, when available. Portions of risk on any mortgage loan insured by the Fund may be assigned to other eligible mortgage insurers on a participating basis.
B. Waiver. The Secretary may waive or vary particular provisions of these regulations to the extent that the waiver is not inconsistent with the Act or with agreements to which the Fund may be subject if:
(1) Conformance to the requirements of any federal agency in connection with any project with respect to which federal assistance is sought necessitates a waiver or variance of a regulation; or
(2) In the written determination of the Secretary, the:
(a) Application of a regulation in a specific case or in an emergency situation would be inequitable or contrary to the purposes of the Act,
(b) Waiver would not be materially adverse to bondholders or others relying on the same reserves of the Fund, and
(c) Office of the Attorney General has approved the form and legal sufficiency of the waiver.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.01 - General

Current through Register Vol. 51, No. 14, July 12, 2024
These regulations set forth the policies and procedures for issuance of mortgage insurance by the Maryland Housing Fund to insure single family residential property.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.02 - Scope

Current through Register Vol. 51, No. 14, July 12, 2024
A. Single Family Regular Program Reserve. Mortgage loans secured by residential real property may be insured by the Maryland Housing Fund under its Single Family Regular Program Reserve. Insurance for the following three programs is supported by the Single Family Regular Program Reserve:
(1) Single Family Lender Insurance-primary mortgage insurance coverage for public and private lenders;
(2) Single Family Public Mortgagee Insurance-primary and pool insurance coverage for public agency lenders; and
(3) Insurance of first mortgages purchased by public employee retirement systems or pension funds.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.04 - Reserves

Current through Register Vol. 51, No. 14, July 12, 2024
A. Types of Reserves.
(1) All insurance issued by the Fund is backed by an insurance reserve.
(2) There currently exist the following six separate reserves:
(a) One for multifamily insurance;
(b) Three for single family insurance;
(c) One for general reserve insurance;
(d) One for business reserve insurance; and
(e) An unallocated reserve for moneys not yet transferred to a specific reserve.
(3) The three separate reserve funds that have been established to back types of single family insurance are:
(a) Single family regular program insurance;
(b) Revitalization program insurance formerly known as pilot program insurance; and
(c) Single family home and energy loan insurance.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.05 - Eligible Property

Current through Register Vol. 51, No. 14, July 12, 2024
Properties that are financed by mortgage loans insured by the Fund shall meet property eligibility requirements at the time of loan closing as follows:
A. Be single family properties with not more than four units;
B. Be located in the State;
C. Have clear and merchantable title acceptable to the Fund;
D. Conform to all applicable federal, State, and local building, zoning, environmental, health, and housing codes;
E. Be insured with hazard insurance issued by a company that is approved by the State Insurance Commissioner and, when applicable, flood insurance;
F. Have an appraisal and appraised value that are satisfactory to the Fund;
G. Meet the minimum property standards of the Fund; and
H. If the property is a condominium, meet the following requirements:
(1) Have either a:
(a) Certification that it is in compliance with FNMA or FHLMC standards, or
(b) Sales and management plan satisfactory to the Fund; and
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.06 - Eligible Borrowers

Current through Register Vol. 51, No. 14, July 12, 2024
A person can be an eligible borrower subject to the following general requirements:
A. The person shall be legally able to enter into contractual obligations;
B. The borrower may not own any other real property at the time the insured mortgage loan closes, except a:
(1) Cemetery plot,
(2) Lot on which the residential housing unit to be financed with proceeds of the mortgage loan is to be built;
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.07 - Eligible Mortgage Loans

Current through Register Vol. 51, No. 14, July 12, 2024
A. Mortgage loans shall meet the general eligibility requirements of this regulation.
B. Security.
(1) Mortgage loans shall be secured by a first lien against the mortgaged property.
(2) Mortgage loans insured by the Fund shall be secured by real property that meets the requirements of the Fund.
(3) Escrow accounts for payment of taxes, insurance, condominium fees, or other customary expenses related to the first mortgage loan, as applicable, shall be satisfactory to the Fund.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.08 - Eligible Lenders

Current through Register Vol. 51, No. 14, July 12, 2024
A. A lender shall meet the eligibility requirements of §B or C of this regulation in order to be approved for mortgage insurance issued by the Fund under the Fund master policy for primary mortgage insurance.
B. The Fund will approve mortgage lenders that execute a certification that they are:
(1) A financial institution which has accounts insured by any agency of the United States;
(2) An institutional lender approved under a federal mortgage loan insurance agency; or
(3) Any FNMA or FHLMC approved institutional conventional seller.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.09 - Primary Mortgage Insurance Conditions

Current through Register Vol. 51, No. 14, July 12, 2024
A. Application.
(1) A lender shall submit an application in the form prescribed by the Maryland Housing Fund which shall contain a complete credit package and any other documentation required by the Fund. If documentation is incomplete, the credit evaluation may be delayed and may result in the application's being returned.
(2) If an application is denied, the lender may request reconsideration by the Director of the Maryland Housing Fund.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.10 - Default Procedures

Current through Register Vol. 51, No. 14, July 12, 2024
A. Notice of Delinquency. Notice of delinquency shall be submitted by a lender or its servicing agent to the Fund in writing within:
(1) 45 days if the first payment due under the loan is not paid when due; or
(2) 10 days after the account is in default for 60 days.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.11 - Termination of Insurance

Current through Register Vol. 51, No. 14, July 12, 2024
Maryland Housing Fund insurance coverage may be terminated by the Fund at its discretion under the following conditions:
A. The lender requests in writing cancellation of the insurance;
B. A claim is satisfied by the Fund;
C. The mortgage loan is paid in full;
D. A renewal premium is not paid after receipt of written notice from the Maryland Housing Fund;
E. Failure of the lender to comply with these regulations, the servicing manual provided by the Fund, or the Fund's primary or pool insurance policy, as applicable;
F. Modification of mortgage terms without the Fund's prior approval; or
G. Other action with respect to a defaulted mortgage loan without the Fund's prior approval.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.12 - Forward Insurance Commitments

Current through Register Vol. 51, No. 14, July 12, 2024
A. General.
(1) The Fund may provide forward insurance commitments for permanent loans financing single family properties located in projects based upon a master appraisal for the project.
(2) The Fund may limit the number of single family units it will insure in any one project or subdivision.
(3) The Fund may require that approval of a project for a forward insurance commitment be obtained from the Fund if the Fund is expected to insure more than five mortgage loans in the project.
(4) Instead of providing a forward insurance commitment, the Fund may provide mortgage insurance certificates on a case-by-case or spot loan basis in a project based upon individual property appraisals at the time of application for permanent financing, if:
(a) The project involves diverse model types, pricing, staging, or phasing;
(b) The project is a scattered-site project; or
(c) Other circumstances are considered by the Fund to be appropriate for case-by-case consideration.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.13 - Arrangements with Other Insurers

Current through Register Vol. 51, No. 14, July 12, 2024
A. The Fund is authorized to enter into reinsurance and coinsurance arrangements, as approved by the Secretary.
B. The amount of any reinsurance or co-insurance may decrease the amount of the Fund reserves pledged to the Fund pool insurance policy only if the:
(1) Fund does not retain contingent liability under the reinsurance or co-insurance arrangement; or
(2) Reinsurer or coinsurer is a:
(a) Federal agency, or
(b) Private insurer having surplus as regards policy holders equal to at least $15,000,000, which is approved by FNMA or FHLMC.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.14 - Premiums and Types of Coverage

Current through Register Vol. 51, No. 14, July 12, 2024
A. Premiums for Primary Mortgage Insurance and Coverage for Public and Private Lenders.
(1) The Maryland Housing Fund may insure permanent single family mortgages originated by public and private lenders that have been approved by the Maryland Housing Fund for mortgage insurance. The insurance is governed by Regulations .05-.09 of this chapter and by the provisions of the master policy for mortgage insurance issued to the lender.
(2) In general, primary mortgage insurance covers the top 35 percent of the original loan amount or such other amount as may be specified in a policy or certificate of insurance.
(3) Premiums for mortgage insurance shall be determined by the Maryland Housing Fund from time to time for various programs.
(4) Premiums may be set at different levels for different categories of loans and loan programs depending on the risk factors, which may include:
(a) Depth of insurance coverage;
(b) Length of mortgage term;
(c) Borrower's financial capabilities;
(d) Credit rating of borrowers; and
(e) Condition of property securing loan.
(5) The Fund shall maintain a publicly available premium rate sheet with a stated effective date for the premiums.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.15 - Claims

Current through Register Vol. 51, No. 14, July 12, 2024
A. Filing.
(1) A claim may not be settled by the Fund until the lender has:
(a) Implemented the actions prescribed by the Fund to cure a defaulted mortgage loan; and
(b) Submitted to the Fund an application for settlement of a claim.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.06 - Single Family Insurance Program › Section 05.06.06.16 - General Provisions

Current through Register Vol. 51, No. 14, July 12, 2024
A. Waiver. The Secretary may waive or vary particular provisions of these regulations to the extent that the waiver is not inconsistent with the Act or with agreements to which the Fund may be subject if:
(1) Conformance to the requirements of any federal, State, or local program in connection with a loan necessitates a waiver or variance of a regulation; or
(2) In the written determination of the Secretary, the:
(a) Application of a regulation in a specific case or in an emergency situation would be inequitable or contrary to the purposes of the Act,
(b) Waiver would not be materially adverse to bondholders or others relying on the single family reserve of the Fund, and
(c) Office of the Attorney General has approved the form and legal sufficiency of the waiver.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.07 - Community Housing Support Program › Section 05.06.07.01 - General

Current through Register Vol. 51, No. 14, July 12, 2024
This chapter describes the policies, procedures, and authorizations for selling single-family properties owned by the Department to eligible nonprofit organizations on terms defined in the regulations, for the purpose of resale to purchasers who will occupy the properties.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.07 - Community Housing Support Program › Section 05.06.07.02 - Objectives

Current through Register Vol. 51, No. 14, July 12, 2024
The basic objectives of the Program are to:
A. Provide for the sale of single-family properties owned by the Department as a result of the Department's acquisition at foreclosure sale or by deed in lieu of foreclosure following a borrower default under the several loan programs or mortgage insurance program operated by the Department;
B. Encourage the health and vitality of communities where these properties are located by reducing the period of vacancy for these properties and facilitating renovation and homeownership of these properties; and
C. Encourage the participation of nonprofit organizations that work in these communities by allowing the nonprofit organizations to purchase these properties in order to return them to homeownership status.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.07 - Community Housing Support Program › Section 05.06.07.03 - Definitions

Current through Register Vol. 51, No. 14, July 12, 2024
A. In this chapter, the following terms have the meanings indicated.
B. Terms Defined.
(1) "Act" means Housing and Community Development Article, §§
										3-205,  4-805, and  4-909, Annotated Code of Maryland.
(2) "Area of operation" means the geographic area the nonprofit organization states to be the area within which it carries out its activities.
(3) "Deed-in-lieu" means a deed given by a borrower to a lender to satisfy a debt and avoid foreclosure.
(4) "Department" means the Department of Housing and Community Development, a principal department of the State.
(5) "Division" means the Division of Credit Assurance, a division of the Department.
(6) "Eligible property" means a single-family property owned by the Department that appears on a list of properties selected by the Division to be offered to eligible nonprofit organizations participating in the Program.
(7) "Internal Revenue Code" means the Federal Internal Revenue Code of 1986 and the regulations promulgated under it.
(8) "Nonprofit organization" means a not-for-profit corporation, foundation, or other legal entity that is exempt from federal income tax under §501(c)(3) of the Internal Revenue Code.
(9) "Settlement costs" means the following costs:
(a) Attorney fees, including title examination fees, not to exceed $500;
(b) Document preparation fees;
(c) Recordation fees;
(d) State and local transfer and recordation taxes; and
(e) Other costs approved by the Division in its sole discretion.
(10) "Program" means the Community Housing Support Program.
(11) "Property taxes" means the taxes assessed and levied against the property annually by the State, county, and municipality.
(12) "Single-family property" means a one-unit to four-unit residential property.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.07 - Community Housing Support Program › Section 05.06.07.04 - Purchase and Loan Transaction

Current through Register Vol. 51, No. 14, July 12, 2024
A. Offer to Purchase.
(1) An eligible nonprofit organization approved for participation in the Program as described in Regulation .05 of this chapter may make an offer to purchase an eligible property, as defined in Regulation .03B of this chapter, that is located in the operational area of the nonprofit organization.
(2) The offering price shall be the sales price set by the Division for that property.
(3) The purchase contract shall be in the form required by the Division.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.07 - Community Housing Support Program › Section 05.06.07.05 - Eligible Nonprofit Organizations

Current through Register Vol. 51, No. 14, July 12, 2024
A. A nonprofit organization may apply for approval to participate in the Program by submitting the following documents for review by the Division:
(1) An application in the form required by the Division;
(2) A certification in the form required by the Department that the nonprofit organization shall abide by all requirements of:
(a) Titles VI and VII of the Civil Rights Act of 1964 as amended, Title VIII of the Civil Rights Act of 1968 as amended, and, for nonresidential facilities, the Americans with Disabilities Act of 1990,
(b) The provisions of the Governor's Code of Fair Practices, as amended,
(c) The Department's Minority Business Enterprise Program, and
(d) Governor's Executive Order 01.01.1989.18C relating to drug-free and alcohol-free workplaces, and any Department regulations adopted to carry out the requirements of that order;
(3) A contract affidavit in the form required by the Department;
(4) A copy of the following organizational documents for the nonprofit organization:
(a) A letter from the Internal Revenue Service granting tax-exempt status under §501(c)(3) of the Internal Revenue Code,
(b) Articles of incorporation or other applicable documents,
(c) Bylaws,
(d) Certificate of good standing, and
(e) A resolution authorizing application for participation in the Program and purchase and financing for a particular property where applicable, and the designation of the person or persons authorized to sign on behalf of the organization; and
(5) Any other information required by the Program.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.07 - Community Housing Support Program › Section 05.06.07.06 - Program Administration

Current through Register Vol. 51, No. 14, July 12, 2024
A. An action or decision required or permitted to be taken or made by the Department under Housing and Community Development Article, §§
									3-205,  4-805, and  4-909, Annotated Code of Maryland, or this chapter, except for waiver under Regulation .07 of this chapter, may be taken by the Director of the Division or the Director's designee.
B. The Department may establish from time to time operational handbooks or manuals governing matters relating to the Program, including descriptive statements of program procedures that do not affect the rights of, or the procedures available to, the public.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.07 - Community Housing Support Program › Section 05.06.07.07 - Waiver

Current through Register Vol. 51, No. 14, July 12, 2024
The Secretary may waive or vary particular provisions of this chapter to the extent that the waiver is not inconsistent with the Act if, in the written determination of the Secretary, the application of a regulation in a specific case or in an emergency situation would be inequitable or contrary to the purposes of Housing and Community Development Article, §§
									3-205,  4-805, and  4-909, Annotated Code of Maryland.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.07 - Community Housing Support Program › Section 05.06.07.08 - Power of the Department

Current through Register Vol. 51, No. 14, July 12, 2024
A. The Department may:
(1) Assign a mortgage for value;
(2) Release a mortgage;
(3) Foreclose a mortgage;
(4) Acquire property securing a loan in default;
(5) Encumber, sell, or otherwise dispose of property acquired in connection with a loan in default; or
(6) Obtain and seek enforcement of a deficiency judgment.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.08 - General Reserve Insurance › Section 05.06.08.01 - General

Current through Register Vol. 51, No. 14, July 12, 2024
These regulations set forth the policies, procedures, and authorization for:
A. Issuance of mortgage insurance and credit enhancement under the general reserve established in COMAR 05.06.01.04A(5); and
B. Agreements with mortgage lenders and mortgage insurers to share financial risk and insurance fees in connection with loans insured by the Maryland Housing Fund under its general reserve.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.08 - General Reserve Insurance › Section 05.06.08.02 - Definitions

Current through Register Vol. 51, No. 14, July 12, 2024
A. In this chapter, the following terms have the meanings indicated.
B. Terms Defined.
(1) "Act" means Housing and Community Development Article, Title 3, Subtitle 2, Annotated Code of Maryland, as amended.
(2) "Department" means the Department of Housing and Community Development.
(3) "FHLMC" means the Federal Home Loan Mortgage Corporation.
(4) "FNMA" means the Federal National Mortgage Association.
(5) "Fund" means the Maryland Housing Fund, and, when appropriate, its authorized officers or personnel.
(6) Mortgage.
(a) "Mortgage" means a written instrument evidencing or creating a lien against real property to provide collateral to secure the repayment of a debt.
(b) "Mortgage" includes a deed of trust.
(7) "Mortgagee" means the original lender under a mortgage and its successors and assigns.
(8) "Mortgagor" means the original borrower under a mortgage and the borrower's successors and assigns by operation of law or as approved by the Fund.
(9) Nonprofit Entity.
(a) "Nonprofit entity" means any organization exempt from taxation under the Internal Revenue Code of the United States, 26 U.S.C. §
												501(c).
(b) "Nonprofit entity" includes local development agencies and local development corporations, as defined in Housing and Community Development Article, §
											4-201, Annotated Code of Maryland, and organizations exempt by reason of a charitable or public purpose.
(c) "Nonprofit entity" does not include limited dividend corporations or partnerships.
(10) "Secretary" means the Secretary of Housing and Community Development or the Secretary's designee.
Code of Maryland Regulations › Title 05 - DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT › Subtitle 06 - HOUSING INSURANCE › Chapter 05.06.08 - General Reserve Insurance › Section 05.06.08.03 - Eligible Property

Current through Register Vol. 51, No. 14, July 12, 2024
A property financed by mortgage loans insured by the Fund shall:
A. Be a residential property or type of property permitted under the Act;
B. Have clear and merchantable title acceptable to the Fund;
C. Conform to all applicable federal, State, and local building, zoning, environmental, health, and housing codes;
D. Be insured with hazard insurance issued by a company that is approved by the State Insurance Commissioner and, when applicable, flood insurance;
E. Have an appraised value that is satisfactory to the Fund; and
F. Meet any other standards of the Fund.