D.C. Mun. Regs. tit. 14, r. 14-9211

Current through Register 71, No. 45, November 7, 2024

Rule 14-9211 - LOAN APPROVAL

9211.1

The HCV/HOAP or its designee reserves the right to:

(a) Determine if the financing terms secured for the mortgage are acceptable under the program; and

(b) Reject the terms of a loan upon determination of any of the following:

(1) The household income, combined with home ownership assistance is not sufficient to cover all housing costs, taking into account other expenses, such as childcare, non-reimbursed medical expenses, transportation costs, education and training expenses;

(2) The loan or purchase contract has terms and conditions that are burdensome and/or inconsistent with the HCV/HOAP rules, requirements and objectives;

(3) The loan is being made to include persons other than those listed in the household HCV/HOAP application;

(4) The loan financing chosen is a non-approved type, under Subsection 9210.3, above;

(5) The loan financing is another type that is determined to have a high risk factor at a later time.

(6) An independent third party appraisal has not confirmed a market value for the property which is sufficient to support the actual sales price.

(7) Closing costs and sales commissions exceed reasonable and customary fees.

9211.2

Notice of Loan Disapproval. In the event HCV/HOAP or its designee rejects a loan:

(a) The household shall be issued a Notice of Loan Disapproval. The notice shall state the reason for the disapproval and inform the household that they shall seek another type of financing; and

(b) The time between submission of the loan documents and the disapproval shall not be counted against the time the household has to find a home under the HCV/HOAP.

D.C. Mun. Regs. tit. 14, r. 14-9211

Notice of Final Rulemaking published at 49 DCR 5767 (June 21, 2002); as amended by Final Rulemaking published at 52 DCR 6180 (July 1, 2005)