---
kind: "section"
citation: "24 C.F.R. § 290.31"
title: "24"
number: "290.31"
heading: "Sale of current mortgages securing subsidized projects."
url: "https://uscodex.org/cfr/24/290.31"
---

# §290.31. Sale of current mortgages securing subsidized projects.


HUD will sell current mortgages securing subsidized projects, as follows:

- (a) **Current mortgages with FHA mortgage insurance—** will be sold either:
  - (1) On a competitive basis to FHA-approved mortgagees; or
  - (2) On a negotiated basis, to State or local governments, or to a group of investors that includes an agency of a State or local government if, in addition to meeting the requirements of the Statute, the sales price is the best price that HUD can obtain from an agency of a State or local government while maintaining occupancy for the tenant group originally intended to be served by the subsidized housing program.
- (b) **Current mortgages without FHA mortgage insurance—** will be sold if HUD can offer protections equivalent to those listed for an insured sale in [paragraph (a)](#a) of this section.

## Notes

### Authority

Authority: 12 U.S.C. 1701z-11, 1701z-12, 1713, 1715b, 1715z-1b, 1715z-11a; 42 U.S.C. 3535(d) and 3535(i).

### Source

Source: 61 FR 11685, Mar. 21, 1996, unless otherwise noted.