Title 12Banks and BankingRelease 119-73

§1745 Insurance of mortgages on sales of Government housing; limits and conditions; Greenbelt towns; State housing

Title 12 › Chapter CHAPTER 13— - NATIONAL HOUSING › Subchapter SUBCHAPTER VI— - WAR HOUSING INSURANCE › § 1745

Last updated Apr 6, 2026|Official source

Summary

The Secretary may insure, or promise to insure, a mortgage when a lender asks, if the loan is tied to homes the Government sold that were built or bought under Public Laws 849 and 781 of the 76th Congress (as amended) or Public Laws 9, 73, or 353 of the 77th Congress (as amended). This also covers land or buildings that are part of or serve those homes. Insurance is allowed under section 1738 or section 1743. These mortgages can be insured even if usual limits or rules would stop it. There is no time limit for when such a mortgage may be insured. The normal total cap for all mortgages in the subchapter does not apply here, though the total for mortgages insured under this part cannot exceed $750,000,000. Loans do not have to be approved before construction starts, and the construction need not be new. Also, subsections (b)(2) and (b)(5) of section 1738 and paragraphs (B) and (C) of the first sentence of section 1743(b)(3) do not apply.

Full Legal Text

Title 12, §1745

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Notwithstanding any of the provisions of this subchapter, the Secretary is authorized, upon application by the mortgagee, to insure or to make commitments to insure under section 1738 or section 1743 of this title any mortgage executed in connection with the sale by the Government, or any agency or official thereof, of any housing acquired or constructed under Public Law 849, Seventy-sixth Congress, as amended; Public Law 781, Seventy-sixth Congress, as amended; or Public Laws 9, 73, or 353, Seventy-seventh Congress, as amended (including any property acquired, held or constructed in connection with such housing or to serve the inhabitants thereof), without regard to—
(1)any limit as to the time when any mortgage may be insured under this subchapter;
(2)any limit as to the aggregate amount of principal obligations of all mortgages insured under this subchapter, but the aggregate amount of principal obligations of all mortgages insured pursuant to this section shall not exceed $750,000,000;
(3)any requirement that the obligation be approved for mortgage insurance prior to the beginning of construction or that the construction be new construction;
(4)any of the provisions of subsections (b)(2) or (b)(5) of section 1738 of this title or paragraphs (B) and (C) of the first sentence of section 1743(b)(3) of this title:

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

Public Law 849, Seventy-sixth Congress, as amended, referred to in text, is act Oct. 14, 1940, ch. 862, 54 Stat. 1125, known as the “Lanham Public War Housing Act”, which is classified generally to subchapters II to VII (§§ 1521 et seq., 1531 et seq., 1541 et seq., 1561 et seq., 1571 et seq., and 1581 et seq.) of chapter 9 of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see

Short Title

note set out under section 1501 of Title 42 and Tables. Public Law 781, Seventy-sixth Congress, as amended, referred to in text, is the Second Supplemental National Defense Appropriation Act, 1941, act Sept. 9, 1940, ch. 717, 54 Stat. 872. section 201 thereof appropriated $100,000,000 to the President for allocation to the former “War” Department, and to the Navy Department, for the

Construction

of housing necessary to the national defense program. This provision was not classified to the code. Public Laws 9, 73, or 353, Seventy-seventh Congress, as amended, referred to in text, refer to the following acts, respectively: Public Law 9, Urgent Deficiency Appropriation Act, 1941, act Mar. 1, 1941, ch. 9, 55 Stat. 14; Public Law 73, Additional Urgent Deficiency Appropriation Act, 1941, act
May 24, 1941, ch. 132, 55 Stat. 197; and Public Law 353, Third Supplemental National Defense Appropriation Act, 1942, act Dec. 17, 1941, ch. 591, 55 Stat. 810. These three acts appropriated a total of $320,000,000 to the President for the purpose of providing housing necessary because of national defense activities and conditions arising out of World War II. These provisions were not classified to the code, although all three acts are cited in a “Prior Additional Appropriations” note under section 1523 of Title 42, The Public Health and Welfare. Public Law 671, Seventy-sixth Congress, referred to in text, is act
June 28, 1940, ch. 440, 54 Stat. 676. Provisions of the Act relating to housing are contained in title II, which is classified generally to subchapter I (§ 1501 et seq.) of chapter 9 of Title 42. For complete classification of this Act to the Code, see Tables. The Emergency Relief Appropriation Act of 1935, referred to in text, is Joint Res. Apr. 8, 1935, ch. 48, 49 Stat. 115. It was a temporary legislation, and was formerly set out in a note in former chapter 16 of Title 15, Commerce and Trade. See notes under sections 721 to 728 of that title.

Amendments

1967—Pub. L. 90–19 substituted “Secretary” for “Commissioner” wherever appearing, and “Secretary” for “Public Housing Administration” and “said Administration” in second par., respectively. 1952—Act July 14, 1952, inserted last par. 1950—Act Apr. 20, 1950, § 120, made the insurance authority of this section applicable to sale by the Public Housing Administration, or any public housing agency, of any housing owned or financially assisted pursuant to the provisions of sections 1501 to 1505 of Title 42. The Public Health and Welfare, which provided for the

Construction

of war housing out of prior authorizations for low-rent public housing on the condition that such housing would be converted to low-rent use after termination of its use for war housing. Act Apr. 20, 1950, § 122, substituted “Commissioner” for “Administrator” wherever appearing. 1948—Act Aug. 10, 1948, inserted last par. relating to the Greenbelt towns.

Reference

Citations & Metadata

Citation

12 U.S.C. § 1745

Title 12Banks and Banking

Last Updated

Apr 6, 2026

Release point: 119-73