H.R.2922 - Federal Assistance Downpayment Reform Act of 2009
To establish a downpayment requirement for Rural Housing Service direct and guaranteed single-family home loan programs, to repeal the downpayment assistance initiative under subtitle E of title II of the Cranston-Gonzalez National Affordable Housing Act, and to prohibit use of amounts provided under certain other programs for downpayment assistance.
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To establish a downpayment requirement for Rural Housing Service direct and guaranteed single-family home loan programs, to repeal the downpayment assistance initiative under subtitle E of title II of the Cranston-Gonzalez National Affordable Housing Act, and to prohibit use of amounts provided under certain other programs for downpayment assistance.CommentsClose CommentsPermalink
To establish a downpayment requirement for Rural Housing Service direct and guaranteed single-family home loan programs, to repeal the downpayment assistance initiative under subtitle E of title II of the Cranston-Gonzalez National Affordable Housing Act, and to prohibit use of amounts provided under certain other programs for downpayment assistance.CommentsClose CommentsPermalink
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink
SEC. 2. DOWNPAYMENT REQUIREMENT FOR RURAL HOUSING SERVICE SINGLE-FAMILY HOME LOAN PROGRAMS.
Section 501 of the Housing Act of 1949 (42 U.S.C. 1471) is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink
‘(k) Downpayment Requirement- The Secretary may not make a loan under section 502 to any borrower, or provide a guarantee under section 502(h) for any loan to any borrower, unless the borrower under the loan has paid, in cash or its equivalent, on account of the property to be acquired or refinanced with the proceeds of such loan an amount equal to not less than 3.5 percent of the appraised value of the property or such larger amount as the Secretary may determine.’.CommentsClose CommentsPermalink
SEC. 3. REPEAL OF DOWNPAYMENT ASSISTANCE INITIATIVE.
Title II of the Cranston-Gonzalez National Affordable Housing Act is amended by striking subtitle E (42 U.S.C. 12821 et seq.).CommentsClose CommentsPermalink
SEC. 4. PROHIBITION OF USE OF CERTAIN FUNDS FOR DOWNPAYMENT ASSISTANCE.
(a) Community Development Block Grant Program- Section 105 of the Housing and Community Development Act of 1974 (42 U.S.C. 5305) is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink
‘(i) Prohibition on Use of Assistance for Downpayments- Notwithstanding any other provision of law (including subparagraph (D) of section 105(a)(25) of this title, as in effect pursuant to Public Law 104-204 (110 Stat. 2887)), no amount from a grant made under this title may be used to provide downpayment assistance on behalf of any family or person for the acquisition of a residence.’.CommentsClose CommentsPermalink
(b) Neighborhood Stabilization Program- Subsection (d) of section 2301 of the Housing and Economic Recovery Act of 2008 (42 U.S.C. 5301 note) is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink
‘(4) PROHIBITION ON USE OF ASSISTANCE FOR DOWNPAYMENTS- Notwithstanding any other provision of law, no amounts made available under this section may be used to provide downpayment assistance on behalf of any family or person for the acquisition of a residence.’.CommentsClose CommentsPermalink
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U.S. Congress - Text of H.R.2922 as Introduced in House Federal Assistance Downpayment Reform Act of 2009
