Page:United States Statutes at Large Volume 103 Part 1.djvu/407

 PUBLIC LAW 101-73 —AUG. 9, 1989 103 STAT. 379 residential property at a price below the net realizable market value to the extent necessary to facilitate an expedited sale of such property and enable a public agency or nonprofit organization to comply with the lower-income occupancy requirements applicable to such property under paragraphs (2) and (3). "(ii) PURCHASE LOAN.— The Corporation may provide a loan at market interest rates to the purchaser of eligible residential property for all or a portion of the purchase price, which loan shall be secured by a first or second mortgage on the property. The Corporation may provide such a loan at below market interest rates to the extent necessary to facilitate an expedited sale of eligible residential property and permit (I) a lower- income family to purchase an eligible single family property under paragraph (2); or (II) a public agency or nonprofit organization to comply with the lower- income occupancy requirements applicable to the purchase of an eligible residential property under para- graph (2) or (3). The Corporation shall provide such loan in a form which would permit its sale or transfer to a subsequent holder. "(B) ASSISTANCE BY HUD. —The Secretary shall take such action as may be necessary to expedite the processing of applications for assistance under section 202 of the Housing Act of 1959, the United States Housing Act of 1937, title IV of the Stewart B. McKinney Homeless Assistance Act, sec- tion 810 of the Housing and Community Development Act of 1974, and the National Housing Act to enable any organization or individual to purchase eligible residential ^ property. "(C) ASSISTANCE BY FMHA. —The Secretary of Agriculture shall take such actions as may be necessary to expedite the processing of applications for assistance under title V of the Housing Act of 1949 to enable any organization or individ- ual to purchase eligible residential property. "(7) CONTRACTING RULES.—Contracts entered into under this subsection shall not be subject to the requirements of subsection (b)(ll)(A). " (8) USE OF SECONDARY MARKET AGENCIES. — "(A) IN GENERAL. — In the disposition of eligible residen- tial properties, the Corporation shall, in consultation *with the Secretary, explore opportunities to work with secondary market entities to provide housing for lower- and moderate- income families. "(B) CREDIT ENHANCEMENT.—With respect to such Cor- poration properties, the Secretary may, consistent with statutory authorities, work through the Federal Housing Administration, the Government National Mortgage Association, the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, and other secondary market entities to develop risk sharing struc- tures, mortgage insurance, and other credit enhancements to assist in the provision of property ownership, rental, and cooperative housing opportunities for lower- and moderate- income families.

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