§1005.839. Payment of claim: interest on unpaid principal balance.

24 C.F.R. § 1005.839

HUD shall pay interest on the unpaid principal balance from the date of default to the earlier of the following:

(a)

The execution of deed-in-lieu/lease-in-lieu of foreclosure;

(b)

The execution of the conveyance to either Holder, HUD or a third-party;

(c)

The execution of the assignment of the Section 184 Guaranteed Loan to HUD;

(d)

The expiration of the reasonable diligence timeframe; or

(e)

Other event as prescribed by Section 184 Program Guidance.

Notes, amendments, and revision history

Authority: 12 U.S.C. 1715z-13a; 15 U.S.C. 1639c; 42 U.S.C. 3535(d).

Source: 89 FR 20056, Mar. 20, 2024; 89 FR 22084, Mar. 29, 2024, unless otherwise noted.