[Federal Register Volume 60, Number 205 (Tuesday, October 24, 1995)]
[Notices]
[Page 54576]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-26411]




[[Page 54575]]

_______________________________________________________________________

Part II





Department of Housing and Urban Development





_______________________________________________________________________



Notice of Method of Selecting State Housing Finance Agencies To 
Participate in a Pilot Program for the Sale of HUD-Held Subsidized 
Mortgages; Notice

  Federal Register / Vol. 60, No. 205 / Tuesday, October 24, 1995 / 
Notices   

[[Page 54576]]


DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Assistant Secretary for Housing-Federal Housing 
Commissioner

[Docket No. FR-3976-N-01]


Notice of Method of Selecting State Housing Finance Agencies To 
Participate in a Pilot Program for the Sale of HUD-Held Subsidized 
Mortgages

AGENCY: Office of the Assistant Secretary for Housing-Federal Housing 
Commissioner, HUD.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: This notice announces the method of the Department's selection 
of state housing finance agencies to participate in a pilot program for 
the sale of HUD-held subsidized mortgages.

FOR FURTHER INFORMATION CONTACT: Audrey Hinton, Associate Director for 
Program Operations, Office of Multifamily Asset Management and 
Disposition, Department of Housing and Urban Development, Room 6160, 
451 Seventh Street, S.W., Washington, D.C., 20410, telephone (202) 708-
3730, Ext. 2691 or Susan Sacco, Multifamily Mortgage Sales Specialist, 
Office of Multifamily Asset Management and Disposition, Department of 
Housing and Urban Development, Room 6278, 451 Seventh Street, S.W., 
Washington, D.C., 20410, telephone (202) 708-1220, Ext. 2667. Hearing- 
or speech-impaired individuals may call (202) 708-4594 (TDD). These are 
not toll-free numbers.

SUPPLEMENTARY INFORMATION: To facilitate the disposition of the HUD-
held portfolio of subsidized mortgages to eligible purchasers, HUD has 
decided to initiate several mortgage sales involving state housing 
finance agencies (``HFAs''). The initial sales program will involve 3-5 
HFAs. HUD's objective in launching this initiative is to transfer 
ownership of portfolios of HUD-held subsidized mortgages for the 
applicable state to HFAs which will service and restructure mortgages 
within the portfolio taking into account the economic, physical, 
social, and financial realities of each individual loan. On October 6, 
1995, HUD mailed an invitation to all HFAs inviting them to submit a 
proposal to participate in the pilot program. HUD will select 3-5 HFAs 
to participate. In making its selection, HUD intends to give preference 
to those housing finance agencies which will make financial and 
resource commitments to this initiative and/or will refinance the 
mortgages using FHA risk sharing or credit guarantees which do not 
involve FHA insurance. HUD intends to sell subsidized mortgages within 
an HFA's jurisdiction to the selected pilot agencies and expects that 
each HFA will service and restructure the mortgages, where feasible, 
based on existing market factors and assuming termination of project-
based subsidies at contract expiration. HUD will not sell any 
unsubsidized or partially assisted mortgages as part of this 
transaction.
    A pre-proposal submission conference with HFAs that are interested 
in responding to the October 6, 1995 invitation will be held on October 
25, 1995, in Washington, D.C.

    Authority: 12 U.S.C 1701z-11 and 1731(k)(3).

    Dated: October 16, 1995.
Nicolas P. Retsinas,
Assistant Secretary for Housing-Federal Housing Commissioner.
[FR Doc. 95-26411 Filed 10-20-95; 10:44 am]
BILLING CODE 4210-27-P