Title 12 › Chapter 13— NATIONAL HOUSING › Subchapter V— MISCELLANEOUS › § 1735f–19
Lets the Secretary, when asked to take over a government‑insured mortgage for a multifamily housing project or certain health care facilities (like nursing homes, hospitals, and group practice facilities), tell the lender instead to accept a partial payment of the mortgage insurance claim and to change the loan terms if that costs the government less and helps keep the property serving low‑income residents or health needs. Under the 1997 reform law, the Secretary may also make a one‑time, nondefault partial or full payment and restructure the loan after valuing the project. The borrower must repay any partial payment, and that repayment is secured by a second mortgage.
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Banks and Banking, Source: USLM XML via OLRC
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12 U.S.C. § 1735f–19
Title 12, Banks and Banking
Last Updated
Apr 3, 2026
Release point: 119-73not60