Page:United States Statutes at Large Volume 79.djvu/510

 470

PUBLIC LAW 89-117-AUGUST 10, 1965

[79 STAT.

"(idi) in a case where the mortgagor is not the occupant of the property and intends to hold the property for the purpose of sale, have a principal obligation in an amount not to exceed 85 per centum of the amount computed under the provisions of clause (i), or in the alternative, in an amount equal to the amount computed under the provisions.of clause (i) if the mortgagor and mortgagee assume responsibility in a manner satisfactory to the Commissioner for the reduction of the mortgage by an amount not less than 15 per centum of the outstanding principal amount thereof, or by such greater amount as may be required to meet the limitations of clause (iv), in the event the mortgaged property is not, prior to the due date of the eighteenth amortization payment of the mortgage, sold to a purchaser acceptable to the Commissioner who is the occupant of the property and who assumes and agrees to pay the mortgage indebtedness; and "(iv) in no case involving refinancing (except as provided in clause (iii)) have a principal obligation in an amount exceeding the sum of the estimated cost of repair and rehabilitation and the amount (as determined by the Commissioner) required to refinance existing indebtedness secured b^^ the property or project, plus any existing indebtedness incurred in connection with improving, repairing, or rehabilitating the property; or". NONDWELLING FACILITIES FOR URBAN RENEWAL HOUSING

i2trec msk.

SEC. 210. Section 2 2 0 (d)(3)(B) of the National Housing Act is amended by striking out clause (iv) and inserting in lieu thereof the following: "(iv) include such nondwelling facilities as the Commissioner deems desirable and consistent with the urban renewal p l a n: Provided, That the project shall be predominantly residential and any nondwelling facility included in the mortgage shall be found by the Commissioner to contribute to the economic feasibility of the project, and the Commissioner shall give due consideration to the possible effect of the project on other business enterprises in the community." LARGER HOME IMPROVEMENT LOANS IN HIGH COST AREAS

75 Stat. 155,

78 Stat. 778.

S E C 211. (a) Section 220(h)(2)(i) of the National Housing Act is amended by inserting before the semicolon at the end thereof'': Provided, That the Commissioner may, by regulation, increase such amount by not to exceed 45 per centum in any geographical area where he finds that cost levels so require". (^j) Section 220(h) (11) of such Act is amended by inserting before the period at the end thereof "or such additional amount as the Commissioner has by regulation prescribed in any geographical area where he finds cost levels so require pursuant to the authority vested in him by the proviso in paragraph (2)(i) of this subsection". LARGER INSURED MORTGAGES FOR SERVICEMEN

71 Stat. 296; 12 USC V7"i5m.

§£(.. 212. Section 222(b) of the National Housing Act is amended— (1) by stHking out "$20,000" in paragraph (2) and inserting in lieu thereof "$30,000"; and (2) by striking out paragraph (3) and inserting in lieu thereof the following: "(3) have a principal obligation not in excess of the sum of (i) 97 per centum of $15,000 of the appraised value of the property

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