Title 12 — Autonomous Agencies

Resolution. (a) The Housing Corporation may appoint a bank or trust company to act as trustee for the Board and the holders of the bonds issued hereunder, and the Board may authorize the trustee to act on behalf of the holders of the bonds, or a stated percentage thereof, and to …

Any pledge made by the Housing Corporation shall be valid and binding from the time the pledge is made. The revenues or other property pledged and thereafter received by the Housing Corporation shall immediately be subject to the lien of the pledge without any physical delivery t…

The Housing Corporation, in carrying on the activities authorized by this Chapter shall utilize, to the extent allowed by law, the available services and facilities of agencies and instrumentalities of the Federal Government or of the government of Guam; and shall not engage in a…

(a) The “Finance Agency Guarantee Fund” heretofore created and existing pursuant to former §§ 20002, 20003 and 20003.1 of the Government Code of Guam is hereby redesignated “Housing Corporation Guarantee Fund” and the same is hereby transferred to the Housing Corporation and set …

To assist in the housing needs of voting residents of Guam who are veterans of the Armed Forces of the United States, who served during the Second World War, during the Korean Conflict, or during the war in Vietnam, and who were honorably discharged from service, the Housing Corp…

(a) The Housing Corporation is authorized to use its funds, from whatever source derived, in the exercise of its corporate powers and functions. (b) The Housing Corporation shall contribute to the government of Guam Retirement Fund on the basis of annual billings as determined by…

(a) Appropriations are authorized for payment to the Housing Corporation in the form of a grant, in such amounts as may be estimated in advance in the annual budget as necessary to cover losses to be sustained in the conduct of its activities which are included in the annual budg…

(a) The management of the Housing Corporation shall be vested in a Board of Directors consisting of seven (7) members including a chairman who shall be appointed by the Governor of Guam, with the advice and consent of the Legislature. (1) The Directors shall serve for a period of…

(a) There is transferred to the Housing Corporation the following property: All the assets and property -- real, personal and mixed, tangible and intangible -- of the Guarantee Fund of the Guam Finance and Development Corporation. The value of the property so transferred shall be…

(a) The Housing Corporation is authorized to guarantee payment of loans in an amount not to exceed seventy-five percent (75%) of the total development and construction cost of rental housing under all Federal Housing Administration multi- family housing programs. Any such project…

Federal Home Loan Bank. The Federal Housing Finance Board has authorized the Federal Home Loan Bank of Seattle to lend to the Housing Corporation as a non-member mortgagee. Pursuant to the provisions of the Financial Institution Reform Recovery and Enforcement Act authorizing the…

The Guam Housing Corporation is hereby authorized to increase its debt to income ratio from thirty-eight percent (38%) to forty-one percent (41%) for the purpose of assisting more families in qualifying for mortgage loans. The debt to income ratio may be in conformance with other…

For purposes of this Article, the following terms are defined to mean: (a) Adjusted annual income means the total family income less five percent (5%) of such total family income less Four Hundred Eighty Dollars ($480) for each dependent. (b) Appraised Value means the value of th…

Financial Institutions are authorized to make loans under this Article to qualified families or individuals for the purchase or construction of typhoon-resistant residential Homes.

The Financial Institution shall require that each mortgagor maintain adequate property insurance coverage for a Home financed under this Chapter.

Loans made by Financial Institutions shall be limited to First-time Home Owners who have been residents of Guam for a period of not less than five (5) years immediately preceding the date of application.

The Government shall provide Interest Free Loans to qualified individuals or families as second mortgage loans subordinated to first mortgage loans made by the Financial Institution for the purchase or construction of a Home. Interest Free Loans shall be available to each family …

The Government shall provide Interest Free Loans to qualified families or individuals. The Interest Free Loans shall be given in accordance to the schedule set forth in § 4207 within the income limits and maximum loan amounts as follows: (a) For families or individuals with adjus…

The total of Interest Free Loans and loans and grants provided for in § 4206.1 shall not exceed Forty Thousand Dollars ($40,000) per applicant. The total Loan to Value Ratio of the combined Financial Institution loan and the Interest Free Loan shall not exceed Ninety-Five Percent…

To the extent allowed by the Financial Institution, an applicant may qualify for a grant or an unsecured Interest Free Loan equal to an amount not exceeding Five Percent (5%) of the lower of the appraised value or the selling price of a Home financed under the provisions of this …

(a) Grants and loans under § 4206.1 shall be limited to the following: Adjusted Income: Qualifies For: Less than $34,335, Outright Grant, $34,335 to $39,240, 5 Year Interest Free Loan, $39,240 to $45,780, 3 Year Interest Free Loan, Over $45,780, No Grant or Loan. (b) Funding unde…

There are hereby established the following Interest Free Loan Schedules to which this Article applies. The maximum loan amount shall depend in each instance on the Rate Index at the time a loan is made. (a) Interest Free Loan Schedule I. Index Rate Maximum Interest Free Loan 12.0…

(a) The mortgagor must pay off the balance of the Interest Free Loan if, during the term of the loan, the Home secured by the mortgage for which the loan was granted is: (1) transferred or conveyed; (2) sold; (3) occupied exclusively by individuals other than the mortgagor(s) or …

There is hereby established a fund to be known as the Trust, which shall be maintained by GHC separate and apart from any other funds of the Government or GHC. All monies received by GHC from the Government for funding of Interest Free Loans provided herein shall be deposited in …

Proceeds from the Trust shall be used exclusively for Interest Free Loans and the 3/2 Option provisions in participation with an underlying mortgage by a participating Financial Institution. The Interest Free Loan shall be subordinate to the underlying loan by the Financial Insti…

The Interest Free Loan shall be repaid monthly by the mortgagor in an amount equal to the loan amount divided by the number of monthly periods until maturity. (a) The priority for payment of such loan in the event the loan is in arrears is after the Financial Institution’s requir…

(a) Prior to applying at a Financial Institution for an Interest Free Loan under this Article, the applicant shall first receive an eligibility letter from GHC. (b) To qualify for the Interest Free Loan program, an individual or family must meet the income requirements establishe…

(a) An applicant who is unable to qualify for a mortgage loan with at least three (3) commercial lenders under the program set out in this Article is eligible for a GHC loan under 4103(c) of this Title and may qualify for an Interest Free Loan under this Article; provided, such a…

There is hereby created the Foreclosure Protection Fund (the “Fund”). The Fund shall be used by GHC to protect the interest of the Trust as the second mortgagee and shall be used for the purpose of paying off the first mortgage on foreclosure and may also be used to pay any oblig…

If it is necessary to encourage participation in the program by Financial Institutions, the Corporation may enter cooperative programs to obtain mortgage risk insurance or guarantee loans against losses as a result of default and subsequent foreclosure. ---------- ARTICLE 3 GOVER…

The definitions set out in § 4200 of Article 2 of this Chapter shall apply to this Article 3.

GHC is authorized to make loans under this Article to low and moderate income families for the purchase or construction of their residential Homes. All loans made by GHC shall be subject to the following limitation: (a) The maximum Loan to Value Ratio shall not exceed Ninety-Five…

GHC shall require that each mortgagor maintain adequate property insurance coverage for a Home financed under this Article.

First mortgage loans made by GHC under this program shall bear interest at the prevailing GHC rate.

The Government shall provide Interest Free Loans to qualified individuals or families as second mortgage loans subordinated to first mortgage loans made by GHC for the purchase or construction of a Home. Interest Free Loans shall be available to each family or individual based on…

The Government shall provide Interest Free Loans to qualified families or individuals. The Interest Free Loans shall be given in accordance to the schedule set forth in § 4307 within income limits and maximum loan amounts as follows: (a) For families or individuals with adjusted …

An Interest Free Loan shall not exceed Fifty Thousand Dollars ($50,000). The total Loan to Value Ratio of the combined GHC loan and the Interest Free Loan shall not exceed Ninety-Five Percent (95%) of the appraised value of the Home.

There are hereby established the following Interest Free Loan Schedules to which this Article applies. The maximum loan amount shall depend in each instance on the prevailing GHC Rate at the time a loan is made. (a) Interest Free Loan Schedule I. GHC Rate Maximum Interest Free Lo…

The mortgagor must pay off the Interest Free Loan if, during the term of the loan, the Home secured by the mortgage for which the loan was granted is: (a) transferred or conveyed; (b) sold; (c) occupied exclusively by individuals other than the mortgagor (s) or their children; or…

All Interest Free Loans under this Article shall be funded by the Trust established in § 4209 of Article 2 of this Chapter.

Proceeds from the Trust shall be for Interest Free Loans in participation with an underlying mortgage by GHC. The Interest Free Loans shall be subordinate to the underlying first mortgage by GHC but shall not be subordinate to any other debt or debenture.

The Interest Free Loan shall be repaid monthly by the mortgagor in an amount equal to the loan amount divided by the number of monthly periods until maturity. The priority for payment of this loan in the event the loan is in arrears is after GHC’s requirements and before other Tr…

To qualify for the Interest Free Loan program, an individual “or family must show evidence of rejection from three (3) commercial mortgage lending institutions and be unable to qualify on the basis of income for GHC’s regular lending program. Applicants under this section are not…

The definitions set out in § 4200, Article 2 of this Chapter shall apply to this Article 4.

GHC is hereby authorized to create the Guam Housing Corporation Mortgage Insurance Corporation (GHMIC). GHMIC shall be a public corporation owned in its entirety by GHC. The Board shall be the board of directors of GHMIC. The Board shall create by-laws and promulgate rules and re…

To qualify for the program set out in this Article, the applicant must be a qualified resident and First-time Home Owner as defined in this Chapter. Applicants must demonstrate that they will not be able to obtain first mortgage loans from mortgage lending institutions on the bas…

There is hereby created a Government Loan Guarantee Fund (GLGF). GLGF shall be managed by GHC. Proceeds from GLGF shall be used for the purpose of capitalizing GHMIC. All investment income from GLGF shall remain the property of GHMIC.

GHMIC shall be operated as follows: (a) Separate Records Required. GHC shall keep separate records and financial statements and shall in no way consolidate the finances of GHMIC with its own finances. (b) Limitations of Program Finances. Administrative support services for GHMIC …

GHMIC shall be exempt from all laws and regulations which give the Director of Revenue and Taxation, as the Commissioner of Banking and Insurance, control over the private insurance industry. Private mortgage insurers who reinsure policies underwritten by GHMIC shall also be exem…

The definitions set out in § 4200 of Article 2 of this Chapter shall apply to this Article 5.