---
kind: "section"
citation: "24 C.F.R. § 241.1069"
title: "24"
number: "241.1069"
heading: "Escrow requirements."
url: "https://uscodex.org/cfr/24/241.1069"
---

# §241.1069. Escrow requirements.

- (a) An equity loan provided in connection with a plan of action under [subpart B of part 248](/cfr/24/part248-subpartB.md) of this chapter shall provide for the lender to deposit, on behalf of the borrower, 10 percent of the loan amount in an escrow account, controlled by the Commissioner or a State housing finance agency approved by the Commissioner, which shall be made available to the borrower upon the expiration of the 5-year period beginning on the date the loan is made, subject to compliance with [§ 248.147](/cfr/24/248.147.md) of this chapter.
- (b) An equity loan provided in connection with a plan of action under either [subpart B](/cfr/24/subpartB.md) or [subpart C of part 248](/cfr/24/part248-subpartC.md) of this chapter shall provide for the lender to phase in advances to reflect project rent levels.

## Notes

### Source

Source: 57 FR 12037, Apr. 8, 1992, unless otherwise noted.

### Authority

Authority: 12 U.S.C. 1715b, 1715z-6, and 1735d; 42 U.S.C. 3535(d).

### Source

Source: 36 FR 24653, Dec. 22, 1971, unless otherwise noted.