24 CFR 81.14 - Special Affordable Housing Goal.

§ 81.14 Special Affordable Housing Goal.
(a) Purpose of the goal. This goal is intended to achieve increased purchases by the GSEs of mortgages on rental and owner-occupied housing meeting the then-existing unaddressed needs of, and affordable to, low-income families in low-income areas and very-low-income families.
(b) Factors. In establishing the Special Affordable Housing Goals, the Secretary considered the factors in 12 U.S.C. 4563(a)(2). A statement documenting HUD's considerations and findings with respect to these factors, entitled “Departmental Considerations to Establish the Special Affordable Housing Goal,” was published in the Federal Register on November 2, 2004.
(c) Goals. The annual goals for each GSE's purchases of mortgages on rental and owner-occupied housing meeting the then-existing, unaddressed needs of and affordable to low-income families in low-income areas and very low-income families are:
(1) For the year 2005, 22 percent of the total number of dwelling units financed by each GSE's mortgage purchases unless otherwise adjusted by HUD in accordance with FHEFSSA. The goal for the year 2005 shall include mortgage purchases financing dwelling units in multifamily housing totaling not less than 1.0 percent of the average annual dollar volume of combined (single-family and multifamily) mortgages purchased by the respective GSE in 2000, 2001, and 2002, unless otherwise adjusted by HUD in accordance with FHEFSSA. In addition, as a Special Affordable Housing Home Purchase Subgoal, 17 percent of the total number of home purchase mortgages in metropolitan areas financed by each GSE's mortgage purchases shall be home purchase mortgages in metropolitan areas which count toward the Special Affordable Housing Goal in the year 2005 unless otherwise adjusted by HUD in accordance with FHEFSSA;
(2) For the year 2006, 23 percent of the total number of dwelling units financed by each GSE's mortgage purchases unless otherwise adjusted by HUD in accordance with FHEFSSA. The goal for the year 2006 shall include mortgage purchases financing dwelling units in multifamily housing totaling not less than 1.0 percent of the average annual dollar volume of combined (single-family and multifamily) mortgages purchased by the respective GSE in 2000, 2001, and 2002, unless otherwise adjusted by HUD in accordance with FHEFSSA. In addition, as a Special Affordable Housing Home Purchase Subgoal, 17 percent of the total number of home purchase mortgages in metropolitan areas financed by each GSE's mortgage purchases shall be home purchase mortgages in metropolitan areas which count toward the Special Affordable Housing Goal in the year 2006 unless otherwise adjusted by HUD in accordance with FHEFSSA;
(3) For the year 2007, 25 percent of the total number of dwelling units financed by each GSE's mortgage purchases unless otherwise adjusted by HUD in accordance with FHEFSSA. The goal for the year 2007 shall include mortgage purchases financing dwelling units in multifamily housing totaling not less than 1.0 percent of the average annual dollar volume of combined (single-family and multifamily) mortgages purchased by the respective GSE in 2000, 2001, and 2002, unless otherwise adjusted by HUD in accordance with FHEFSSA. In addition, as a Special Affordable Housing Home Purchase Subgoal, 18 percent of the total number of home purchase mortgages in metropolitan areas financed by each GSE's mortgage purchases shall be home purchase mortgages in metropolitan areas which count toward the Special Affordable Housing Goal in the year 2007 unless otherwise adjusted by HUD in accordance with FHEFSSA;
(4) For the year 2008, 27 percent of the total number of dwelling units financed by each GSE's mortgage purchases unless otherwise adjusted by HUD in accordance with FHEFSSA. The goal for the year 2008 shall include mortgage purchases financing dwelling units in multifamily housing totaling not less than 1.0 percent of the average annual dollar volume of combined (single-family and multifamily) mortgages purchased by the respective GSE in 2000, 2001, and 2002, unless otherwise adjusted by HUD in accordance with FHEFSSA. In addition, as a Special Affordable Housing Home Purchase Subgoal, 18 percent of the total number of home purchase mortgages in metropolitan areas financed by each GSE's mortgage purchases shall be home purchase mortgages in metropolitan areas which count toward the Special Affordable Housing Goal in the year 2008 unless otherwise adjusted by HUD in accordance with FHEFSSA; and
(5) For the year 2009 and thereafter HUD shall establish annual goals. Pending establishment of goals for the year 2009 and thereafter, the annual goal for each of those years shall be 27 percent of the total number of dwelling units financed by each GSE's mortgage purchases in each of those years. The goal for each such year shall include mortgage purchases financing dwelling units in multifamily housing totaling not less than 1.0 percent of the annual average dollar volume of combined (single-family and multifamily) mortgages purchased by the respective GSE in the years 2000, 2001, and 2002. In addition, as a Special Affordable Housing Home Purchase Subgoal, 18 percent of the total number of home purchase mortgages in metropolitan areas financed by each GSE's mortgage purchases shall be home purchase mortgages in metropolitan areas which count toward the Special Affordable Housing Goal in each of those years unless otherwise adjusted by HUD in accordance with FHEFSSA.
(d) Counting of multifamily units.
(1) Dwelling units affordable to low-income families and financed by a particular purchase of a mortgage on multifamily housing shall count toward achievement of the Special Affordable Housing Goal where at least:
(i) 20 percent of the dwelling units in the particular multifamily property are affordable to especially low-income families; or
(ii) 40 percent of the dwelling units in the particular multifamily property are affordable to very-low-income families.
(2) Where only some of the units financed by a purchase of a mortgage on multifamily housing count under the multifamily component of the goal, only a portion of the unpaid principal balance of the mortgage attributable to such units shall count toward the multifamily component. The portion of the mortgage counted under the multifamily requirement shall be equal to the ratio of the total units that count to the total number of units in the mortgaged property.
(e) Full Credit Activities.
(1) For purposes of 12 U.S.C. 4563(b)(1) and this paragraph (e), full credit means that each unit financed by a mortgage purchased by a GSE and meeting the requirements of this section shall count toward achievement of the Special Affordable Housing Goal for that GSE.
(2) Mortgages insured under HUD's Home Equity Conversion Mortgage (“HECM”) Insurance Program, 12 U.S.C. 1715 z-20; mortgages guaranteed under the Rural Housing Service's Single Family Housing Guaranteed Loan Program, 42 U.S.C. 1472; mortgages on properties on tribal lands insured under FHA's Section 248 program, 12 U.S.C. 1715 z-13, HUD's Section 184 program, 12 U.S.C. 1515 z-13a, or Title VI of the Native American Housing Assistance and Self-Determination Act of 1996, 25 U.S.C. 4191-4195; meet the requirements of 12 U.S.C. 4563(b)(1)(A)(i) and (ii).
(3) HUD will give full credit toward achievement of the Special Affordable Housing Goal for the activities in 12 U.S.C. 4563(b)(1)(A), provided the GSE submits documentation to HUD that supports eligibility under 12 U.S.C. 4563(b)(1)(A) for HUD's approval.
(4)
(i) For purposes of determining whether a seller meets the requirement in 12 U.S.C. 4563(b)(1)(B), a seller must currently operate on its own or actively participate in an on-going, discernible, active, and verifiable program directly targeted at the origination of new mortgage loans that qualify under the Special Affordable Housing Goal.
(ii) A seller's activities must evidence a current intention or plan to reinvest the proceeds of the sale into mortgages qualifying under the Special Affordable Housing Goal, with a current commitment of resources on the part of the seller for this purpose.
(iii) A seller's actions must evidence willingness to buy qualifying loans when these loans become available in the market as part of active, on-going, sustainable efforts to ensure that additional loans that meet the goal are originated.
(iv) Actively participating in such a program includes purchasing qualifying loans from a correspondent originator, including a lender or qualified housing group, that operates an on-going program resulting in the origination of loans that meet the requirements of the goal, has a history of delivering, and currently delivers qualifying loans to the seller.
(v) The GSE must verify and monitor that the seller meets the requirements in paragraphs (e)(4)(i) through (e)(4)(iv) of this section and develop any necessary mechanisms to ensure compliance with the requirements, except as provided in paragraph (e)(4)(vi) and (vii) of this section.
(vi) Where a seller's primary business is originating mortgages on housing that qualifies under this Special Affordable Housing Goal such seller is presumed to meet the requirements in paragraphs (e)(4)(i) through (e)(4)(iv) of this section. Sellers that are institutions that are:
(A) Regularly in the business of mortgage lending;
(B) A BIF-insured or SAIF-insured depository institution; and
(C) Subject to, and has received at least a satisfactory performance evaluation rating for
(1) At least the two most recent consecutive examinations under, the Community Reinvestment Act, if the lending institution has total assets in excess of $250 million; or
(2) The most recent examination under the Community Reinvestment Act if the lending institutions which have total assets no more than $250 million are identified as sellers that are presumed to have a primary business of originating mortgages on housing that qualifies under this Special Affordable Housing Goal and, therefore, are presumed to meet the requirements in paragraphs (e)(4)(i) through (e)(4)(iv) of this section.
(vii) Classes of institutions or organizations that are presumed have as their primary business originating mortgages on housing that qualifies under this Special Affordable Housing Goal and, therefore. are presumed in paragraphs (e)(4)(i) through (e)(4)(iv) of this section to meet the requirements are as follows: State housing finance agencies; affordable housing loan consortia; Federally insured credit unions that are:
(A) Members of the Federal Home Loan Bank System and meet the first-time homebuyer standard of the Community Support Program; or
(B) Community development credit unions; community development financial institutions; public loan funds; or non-profit mortgage lenders. HUD may determine that additional classes of institutions or organizations are primarily engaged in the business of financing affordable housing mortgages for purposes of this presumption, and if, so will notify the GSEs in writing.
(viii) For purposes of paragraph (e)(4) of this section, if the seller did not originate the mortgage loans, but the originator of the mortgage loans fulfills the requirements of either paragraphs (e)(4)(i) through (e)(4)(iv), paragraph (e)(4)(vi) or paragraph (e)(4)(vii) of this section; and the seller has held the loans for six months or less prior to selling the loans to the GSE, HUD will consider that the seller has met the requirements of this paragraph (e)(4) and of 12 U.S.C. 4563(b)(1)(B).
(f) Partial credit activities. Mortgages insured under HUD's Title I program, which includes property improvement and manufactured home loans, shall receive one-half credit toward the Special Affordable Housing Goal until such time as the Government National Mortgage Association fully implements a program to purchase and securitize Title I loans.
(g) No credit activities. Neither the purchase nor the securitization of mortgages associated with the refinancing of a GSE's existing mortgage or mortgage-backed securities portfolios shall receive credit toward the achievement of the Special Affordable Housing Goal. Refinancings that result from the wholesale exchange of mortgages between the two GSEs shall not count toward the achievement of this goal. Refinancings of individual mortgages shall count toward achievement of this goal when the refinancing is an arms-length transaction that is borrower-driven and the mortgage otherwise counts toward achievement of this goal. For purposes of this paragraph (g), “mortgages or mortgage-backed securities portfolios” includes mortgages retained by Fannie Mae or Freddie Mac and mortgages utilized to back mortgage-backed securities.
[60 FR 61888, Dec. 1, 1995, as amended at 65 FR 65086, Oct. 31, 2000; 69 FR 63640, Nov. 2, 2004]

Title 24 published on 2013-04-01

no entries appear in the Federal Register after this date.

This is a list of United States Code sections, Statutes at Large, Public Laws, and Presidential Documents, which provide rulemaking authority for this CFR Part.

This list is taken from the Parallel Table of Authorities and Rules provided by GPO [Government Printing Office].

It is not guaranteed to be accurate or up-to-date, though we do refresh the database weekly. More limitations on accuracy are described at the GPO site.


United States Code
U.S. Code: Title 12 - BANKS AND BANKING

§ 1451 - Definitions

§ 1452 - Federal Home Loan Mortgage Corporation

§ 1453 - Capitalization of Federal Home Loan Mortgage Corporation

§ 1454 - Purchase and sale of mortgages; residential mortgages; conventional mortgages; terms and conditions of sale or other disposition; authority to enter into, perform, and carry out transactions

§ 1455 - Obligations and securities of the Corporation

§ 1456 - Immunity of Corporation; audits and reporting requirements; data collection; Housing Advisory Council

§ 1457 - Prohibited activities; penalties for violations by organizations, officers and members of organizations, and individuals

§ 1458 - Territorial applicability

§ 1459 - Separability

§ 1716 - Declaration of purposes of subchapter

12 U.S. Code § 1716–1, 1716a - Repealed. Aug. 2, 1954, ch. 649, title II,

§ 1716b - Partition of Federal National Mortgage Association into Federal National Mortgage Association and Government National Mortgage Association; assets and liabilities; operations

§ 1717 - Federal National Mortgage Association and Government National Mortgage Association

§ 1717a - Prohibition against sale of obligations by Federal departments and agencies after June 30, 1966, without compliance with requirements of

§ 1718 - Capitalization of Federal National Mortgage Association

§ 1719 - Secondary market operations

§ 1720 - Repealed.

§ 1721 - Management and liquidation functions of Government National Mortgage Association

§ 1722 - Benefits and burdens incident to administration of functions and operations under

§ 1723 - Management

§ 1723a - General powers of Government National Mortgage Association and Federal National Mortgage Association

§ 1723b - Investment of funds

§ 1723c - Obligations, participations, or other instruments as lawful investments; acceptance as security; exempt securities

§ 1723d - Transfer of certain functions to Association

§ 1723e - Repealed.

§ 1723f - Repealed.

§ 1723h - Repealed.

§ 4501 - Congressional findings

§ 4502 - Definitions

§ 4503 - Protection of taxpayers against liability

§ 4511 - Establishment of the Federal Housing Finance Agency

§ 4512 - Director

§ 4513 - Duties and authorities of Director

§ 4513a - Federal Housing Finance Oversight Board

§ 4513b - Prudential management and operations standards

§ 4514 - Authority to require reports by regulated entities

§ 4514a - Study and reports on guarantee fees

§ 4515 - Personnel

§ 4516 - Funding

§ 4517 - Examinations

§ 4518 - Prohibition and withholding of executive compensation

§ 4518a - Limitation on bonuses to executives of Fannie Mae and Freddie Mac

§ 4519 - Authority to provide for review of regulated entities

§ 4520 - Minority and women inclusion; diversity requirements

§ 4521 - Annual reports by Director

§ 4522 - Public disclosure of final orders and agreements

§ 4523 - Limitation on subsequent employment

§ 4524 - Audits by GAO

§ 4525 - Information, records, and meetings

§ 4526 - Regulations and orders

§ 4541 - Prior approval authority for products

§ 4542 - Housing Price Index

§ 4543 - Public access to mortgage information

§ 4544 - Annual housing report

§ 4545 - Fair housing

§ 4546 - Prohibition of public disclosure of proprietary information

§ 4547 - Enterprise guarantee fees

§ 4548 - Repealed.

§ 4561 - Establishment of housing goals

§ 4562 - Single-family housing goals

§ 4563 - Multifamily special affordable housing goal

§ 4564 - Discretionary adjustment of housing goals

§ 4565 - Duty to serve underserved markets and other requirements

§ 4566 - Monitoring and enforcing compliance with housing goals

§ 4567 - Affordable housing allocations

§ 4568 - Housing Trust Fund

§ 4569 - Capital Magnet Fund

§ 4581 - Cease and desist proceedings

§ 4582 - Hearings

§ 4583 - Judicial review

§ 4584 - Enforcement and jurisdiction

§ 4585 - Civil money penalties

§ 4586 - Public disclosure of final orders and agreements

§ 4587 - Notice of service

§ 4588 - Subpoena authority

§ 4589 - Repealed.

§ 4601 - Review of underwriting guidelines

§ 4602 - Studies of effects of privatization of FNMA and FHLMC

§ 4603 - Transition

§ 4611 - Risk-based capital levels for regulated entities

§ 4612 - Minimum capital levels

§ 4613 - Critical capital levels

§ 4614 - Capital classifications

§ 4615 - Supervisory actions applicable to undercapitalized regulated entities

§ 4616 - Supervisory actions applicable to significantly undercapitalized regulated entities

§ 4617 - Authority over critically undercapitalized regulated entities

§ 4618 - Notice of classification and enforcement action

§ 4619 to 4621 - Repealed.

§ 4622 - Capital restoration plans

§ 4623 - Judicial review of Director action

§ 4624 - Reviews of enterprise assets and liabilities

§ 4631 - Cease-and-desist proceedings

§ 4632 - Temporary cease-and-desist orders

§ 4633 - Hearings

§ 4634 - Judicial review

§ 4635 - Enforcement and jurisdiction

§ 4636 - Civil money penalties

§ 4636a - Removal and prohibition authority

§ 4636b - Criminal penalty

§ 4637 - Notice after separation from service

§ 4638 - Private rights of action

§ 4639 - Public disclosure of final orders and agreements

§ 4640 - Notice of service

§ 4641 - Subpoena authority

U.S. Code: Title 28 - JUDICIARY AND JUDICIAL PROCEDURE
U.S. Code: Title 42 - THE PUBLIC HEALTH AND WELFARE