---
kind: "section"
citation: "24 C.F.R. § 982.638"
title: "24"
number: "982.638"
heading: "Homeownership option: Denial or termination of assistance for family."
url: "https://uscodex.org/cfr/24/982.638"
---

# §982.638. Homeownership option: Denial or termination of assistance for family.

- (a) **General.** The PHA shall terminate homeownership assistance for the family, and shall deny voucher rental assistance for the family, in accordance with this section.
- (b) **Denial or termination of assistance under basic voucher program.** At any time, the PHA may deny or terminate homeownership assistance in accordance with [§ 982.552](/cfr/24/982.552.md) (Grounds for denial or termination of assistance) or [§ 982.553](/cfr/24/982.553.md) (Crime by family members).
- (c) **Failure to comply with family obligations.** The PHA may deny or terminate assistance for violation of participant obligations described in [§ 982.551](/cfr/24/982.551.md) or [§ 982.633](/cfr/24/982.633.md).
- (d) **Mortgage default.** The PHA must terminate voucher homeownership assistance for any member of family receiving homeownership assistance that is dispossessed from the home pursuant to a judgment or order of foreclosure on any mortgage (whether FHA-insured or non-FHA) securing debt incurred to purchase the home, or any refinancing of such debt. The PHA, in its discretion, may permit the family to move to a new unit with continued voucher rental assistance. However, the PHA must deny such permission, if:
  - (1) The family defaulted on an FHA-insured mortgage; and
  - (2) **The family fails to demonstrate that—**
    - (i) The family has conveyed, or will convey, title to the home, as required by HUD, to HUD or HUD's designee; and
    - (ii) The family has moved, or will move, from the home within the period established or approved by HUD.

## Notes

### Amendments

[65 FR 55163, Sept. 12, 2000, as amended at 66 FR 33613, June 22, 2001]

### Source

Source: 65 FR 55163, Sept. 12, 2000, unless otherwise noted.

### Source

Source: 63 FR 23865, Apr. 30, 1998, unless otherwise noted.

### Authority

Authority: 42 U.S.C. 1437f and 3535(d).

### Source

Source: 59 FR 36682, July 18, 1994, unless otherwise noted.

### Amendments

[65 FR 55163, Sept. 12, 2000, as amended at 66 FR 33613, June 22, 2001]