Profiles of Existing Government Corporations - US Government ...

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NAME: Federal Housing Administration Fund (FM)
PURPOSE: FHA insurss lending institutions against possibls
losses incurred in financing sin9ls family nortgagms, multifamily
mortgages, and loans either for home improvsasnts or mobile home
purchasss. F'liA also provides mortgage and loan insursncs for
coopsratives, condominiums, housing for the elderly, group
practice medical facilitiss, nonprofit hospitals, multifasily
rental housing construction, and nursing homes. Through F?lA's
special risk insurance fund, mortgage insurance is provided on
behalf of mortgagors sli9ibls for intsrsst reduction payments who
othsn#isa would not be sli9ibl8 for mortgage insurance.
LEGAL ADTHoRnY: 12 U.S.C. 1702 at seq.
DATE CRRATRD: June 30, 1934
LFGISIATED TXUINATION DATE: None spscified in enabling
lagislation
LEGAL STATUS: Wholly owned govsrnunt corporationa
AGENCY STATUS: A l ncy vithin the Departnat of Housing and Urban
Development (RUD) B
BOARD01 DIRRCPORS: Nona specified in l nablin9 logislationc
ADVISORY BOARD -: Not applicable
PARRRTAGUCY: Department of Wousing and Urban Development (RUD)
AFFILIATZD AGmCIRS: The Assistant Secretary for Housing is the
Fedora1 Housing Commissionsr and the head of IHA. The Secretary
of RUD administsrs ths FHA Fund programs and, vhsn carrying out
the duties and powers rolatsd to the FHA Fund, has the authority,
within statutory limits, to fix insurance premium rates high
enough to cover all insurance claiss and operating costs. HUD
pays claims on insured m0rt98988 fros the P?IA Puhd and acquires
in return l ithor the defaulted 8ortgags note or the rolatsd
property fros the mo*gaqes. WD servicss the sortgago notes it
racsivos, unless continued default loads HUD to foreclose and
acquire the proparty. Some of the80 properties are sold for cash
and other salas ars consumstsd by purchase money mortga9ss
whereby HUD bscorss the mortgagao.
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