[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: 24CFR203.31]



[Page 162]

 

                 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.  203.31  Mortgagor of a principal residence in military service 

cases.



    (a) A mortgage that is otherwise eligible for insurance under any of 

the provisions of this part may be insured without regard to any 

requirement contained in this part that the mortgagor occupy the 

dwelling as a principal residence (as defined in Sec.  203.18(f)(1)) at 

the time of insurance, or that the mortgagor meet loan-to-value or 

comparable limitations based on the failure of the mortgagor to meet an 

occupancy requirement, if:

    (1) The Commissioner is satisfied that the inability of the 

mortgagor to meet the occupancy requirement is by reason of his or her 

entry into military service after the filing of an application for 

insurance; and

    (2) The mortgagor expresses an intent (in such form as the 

Commissioner may prescribe), to meet the occupancy requirement upon his 

or her discharge from the service.

    (b) A serviceperson will also be considered to meet the occupancy 

requirement referred to in paragraph (a) of this section for mortgage 

insurance purposes, if the following conditions are satisfied:

    (1) The serviceperson and his or her family expect to meet the 

occupancy requirement referred to in paragraph (a) of this section for 

two or more years. The Commissioner may shorten this period to one year, 

if (i) the serviceperson's family will occupy the property for at least 

one year and (ii) the serviceperson is assigned to a combat zone or 

other hazardous duty area where the family cannot accompany him or her; 

and

    (2) The property is located in an area in which the prospects of 

resale are reasonable.



(Approved by the Office of Management and Budget under control number 

2502-0059)



[55 FR 34804, Aug. 24, 1990]



                           Eligible Mortgagors