West Virginia Code of State Rules › Agency 88 - Housing Development Fund › Title 88 - LEGISLATIVE RULE WEST VIRGINIA HOUSING DEVELOPMENT FUND › Series 88-01 - Refiling Of Administrative Rules Pertaining To Administration Of Single-Family Mortgage Loans › Section 88-1-2 - Description of program

Current through Register Vol. XLI, No. 28, July 12, 2024
2.1.
				General purpose. -- The Legislature of West Virginia has created and
				established the State Mortgage and Industrial Development Pool from which the
				Board of Investments shall make available for investment in single-family
				mortgage loans the sum of twenty million dollars ($20,000,000) on June 11,
				1982, the sum of twenty million dollars ($20,000,000) on October 1, 1982, and
				the sum of ten million dollars ($10,000,000) on January 1, 1983. Unless sooner
				invested in single-family mortgage loans, the funds revert to the exclusive
				control of the Board of Investments one (1) year from the date on which the
				funds become part of the Mortgage Investment Pool.
2.2. Definitions. -- The following terms have
				the following meanings when used in these regulations:
(a) "Act" means article eighteen-b of chapter
				thirty-one of the Code of West Virginia, 1931, as amended.
(b) "Approved Servicer" means any person
				legally authorized to engage in the business of servicing loans of the general
				character of Program Loans in the state, having one or more offices in the
				state at which residential mortgage loans are originated and which has been
				approved by and entered into a Program Loan Servicing Agreement with the Board
				of Investments. An Approved Servicer which is a bank or savings and loan
				association must be under the supervision of the Department of Banking of the
				state or be a national banking association or a federal savings and loan
				association having its principal place of business in the state.
(c) "Closing Costs" mean the fees and charges
				customarily collected by a lender from a borrower in a residential real estate
				mortgage loan transaction, to pay real estate taxes, mortgage insurance
				premiums, property insurance premiums, mortgagee title insurance premiums,
				survey fees, fees for preparation of the deed, deed of trust, settlement
				statement and related documents, escrows for future payment of taxes and
				insurance, official fees and fees for notarizing deeds and other documents,
				appraisal fees, credit reports and other items of a similar nature.
(d) "Eligible Borrower" means a person or
				family, irrespective of race, sex, national origin, religion or location in
				this State, whose gross family income for each of the two (2) calendar years
				preceding the year in which the commitment to make the Program Loan is issued
				is fifty thousand dollars ($50,000) or less, and who is otherwise eligible
				under these regulations, who uses the proceeds of a Program Loan solely for the
				purpose of (i) purchasing real estate upon which is situate an Eligible
				Single-Family Dwelling, (ii) the construction of an Eligible Single-Family
				Dwelling upon real estate by the Eligible Borrower to provide housing for only
				himself and his family, (iii) the payment of a loan theretofore made for the
				construction of an Eligible Single-Family Dwelling or (iv) purchasing real
				estate upon which is situate an Eligible Single-Family Dwelling and making
				additions or improvements thereto.
(e) "Eligible Single-Family Dwelling" means a
				detached unit on a separate piece of land used solely for the housing of one
				(1) family, and only one family, which family owns the Eligible Single-Family
				Dwelling and the land, and includes townhouses or row houses owned and used by
				an Eligible Borrower as a residential dwelling, excluding mobile homes or
				double-wide units. The land for an Eligible Single-Family Dwelling may not be
				more or less than that needed for basic livability, as determined by the
				Housing Development Fund.
(f)
				"Mortgage Investment Pool" means the portion of the State Mortgage and
				Industrial Development Investment Pool created under the Act, in the total
				amount of fifty million dollars ($50,000,000), required by the Act to be
				invested by the Housing Development Fund.
(g) "Participating Lender" means any lending
				institution licensed to do business in the state authorized to engage in the
				business of making loans of the general character of Program Loans and which is
				approved by and enters into a Program Loan Purchase Agreement with the Board of
				Investments. A Participating Lender which is a bank or savings and loan
				association must be under the supervision of the Department of Banking of the
				state or be a national banking association or a federal savings and loan
				association having its principal place of business in the state.
(h) "Program Loan" means a loan from the
				Mortgage Investment Pool, made by a Participating Lender to an Eligible
				Borrower pursuant to these regulations.
(i) "Real Estate Broker" means, with respect
				to the sale of an Eligible Single-Family Dwelling, any person, partnership,
				association or corporation, who for a fee, commission or other valuable
				consideration or with the intention or expectation of receiving or collecting
				the same, performs any of the services or activities necessary to cause him or
				it to be considered a real estate broker within the meaning of West Virginia
				Code, section one, article twelve, chapter forty-seven et seq.
(j) "State" means the State of West
				Virginia.