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§200.53. Initial operating funds.

24 C.F.R. § 200.53

The mortgagor shall deposit cash with the mortgagee, or in a depository satisfactory to the mortgagee and under control of the mortgagee, in accordance with terms, conditions and standards established by the Commissioner for:
(a)
Accruals for taxes, ground rates, mortgage insurance premiums, and property insurance premiums, during the course of construction;
(b)
Meeting the cost of equipping and renting the project subsequent to its completion in whole or part; and
(c)
Allocation by the mortgagee for assessments required by the terms of the mortgage in an amount acceptable to the Commissioner.
Notes, amendments, and revision history

Source

Source: 61 FR 14399, Apr. 1, 1996, unless otherwise noted.

Authority

Authority: 12 U.S.C. 1702-1715z-21; 42 U.S.C. 3535(d).

Source

Source: 36 FR 24467, Dec. 22, 1971, unless otherwise noted.