Prepayment requests.

CFR · 2024-01-01 · US · Title 7

(a) Borrowers seeking to prepay an Agency loan must submit a written prepayment request to the Agency at least 180 days in advance of the anticipated prepayment date and must obtain Agency approval before the Agency will accept prepayment. (b) Prior to submitting a prepayment request, borrowers must take whatever actions are necessary to provide the following items: (1) A clear description of the loan to be prepaid, the housing project covered by the loan being prepaid, and the requested date of prepayment. (2) A statement documenting the borrower's ability to prepay under the terms specified. (3) A certification that the borrower will comply with any federal, state, or local laws or regulations which may relate to the prepayment request and a statement of actions needed to assure such compliance. (4) A copy of lease language to be used during the period between the submission date and the final resolution of the prepayment request notifying tenant applicants that the owner of the housing project has submitted a prepayment request to the Agency and explaining the potential effect of the request on the lease. (5) Borrowers are required to submit a signed release of information form along with the prepayment request. The Agency will notify nonprofit organizations and public bodies involved in providing affordable housing or financial assistance to tenants of the receipt of a borrower's request to prepay their loan(s). Additionally, the Agency is to notify nonprofit organization

official document · source cfr-2024 · id 7:§ 3560.653