[Code of Federal Regulations]

[Title 24, Volume 2]

[Revised as of April 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR203.16]



[Page 152]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

 CHAPTER II--OFFICE OF ASSISTANT SECRETARY FOR HOUSING--FEDERAL HOUSING 

        COMMISSIONER, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

 

PART 203_SINGLE FAMILY MORTGAGE INSURANCE--Table of Contents

 

     Subpart A_Eligibility Requirements and Underwriting Procedures

 

Sec.  203.16  Certificate and contract regarding use of dwelling for 

transient or hotel purposes.



    Every application filed with respect to insurance of mortgages on a 

two-, three-, or four-family dwelling, or a single-family dwelling which 

is one of a group of 5 or more single-family dwellings held by the same 

mortgagor, must be accompanied by a contract in form satisfactory to the 

Commissioner, signed by the proposed mortgagor covenanting and agreeing 

that so long as the proposed mortgage is insured by the Commissioner the 

mortgagor will not rent the housing or any part thereof covered by the 

mortgage for transient or hotel purposes, together with the mortgagor's 

certification under oath that the housing or any part thereof covered by 

the proposed mortgage will not be rented for transient or hotel 

purposes. For the purpose of this subchapter rental for transient or 

hotel purposes shall mean (a) rental for any period less than 30 days or 

(b) any rental if the occupants of the housing accommodations are 

provided customary hotel services such as room service for food and 

beverages, maid service, furnishing and laundering of linen, and bellboy 

service.