[Federal Register Volume 69, Number 40 (Monday, March 1, 2004)]
[Notices]
[Pages 9632-9633]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-4481]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4902-N-01]


Adjustments to Statutory Mortgage Limits for Sections 207 and 213 
of the National Housing Act Multifamily Housing Programs

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

ACTION: Notice.

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SUMMARY: The recently enacted FHA Multifamily Loan Limit Adjustment Act 
of 2003 made adjustments to certain maximum mortgage amount limits. 
This notice advises of HUD adjustment of these mortgage limits 
consistent with the new law.

EFFECTIVE DATE: January 1, 2004.

FOR FURTHER INFORMATION CONTACT: Michael McCullough, Director, Office 
of Multifamily Development, Department of Housing and Urban 
Development, 451 Seventh Street, SW., Washington, DC 20410-8000, 
telephone (202) 708-1142 (this is not a toll-free number). Hearing-or 
speech-impaired individuals may access this number through TTY by 
calling the toll-free Federal Information Relay Service at (800) 877-
8339.

SUPPLEMENTARY INFORMATION: The FHA Downpayment Simplification Act of 
2002 (Pub. L. 107-326, approved December 4, 2002) amended the National 
Housing Act (the Act) (12 U.S.C. 1701 et seq.) by adding a new section 
206A (12 U.S.C. 1712a). Under section 206A, maximum mortgage amounts 
(collectively referred to as ``dollar amounts'') shall be adjusted 
annually, commencing in 2004, for a number of programs under the Act. 
Accordingly, on November 1, 2003 (68 FR 65724), HUD published notice of 
the basic statutory mortgage limits for multifamily housing programs.
    Subsequently, enactment of the FHA Multifamily Loan Limit 
Adjustment Act of 2003 (section 302 of Pub. L. 108-186, approved 
December 16, 2003) established ``catch-up adjustments'' to two programs 
under the Act. Under section 302(c), captioned ``Catch-up Adjustments 
to Certain Maximum Mortgage Amount Limits,'' the adjustments affect the 
following sections of the Act: (1) Section 207(c)(3)(A) (12 U.S.C. 
1713(c)(3)(A)); and (2) section 213(b)(2)(A) (12 U.S.C. 
1715e(b)(2)(A)).
    The new dollar amounts in these sections have been adjusted by HUD 
according to the FHA Downpayment Simplification Act of 2002, using the 
Federal Reserve Board's adjustment of the $400 figure in the Home 
Ownership and Equity Protection Act of 1994 (HOEPA) (Pub. L. 103-325, 
approved September 23, 1994). The adjustment of the dollar amounts has 
been calculated

[[Page 9633]]

using the percentage change in the Consumer Price Index for All Urban 
Consumers (CPI-U) as applied by the Federal Reserve Board for purposes 
of the above-described HOEPA adjustment.
    The percentage change in the CPI-U is 2.22 percent and the 
effective date of the HOEPA adjustment is January 1, 2004. The dollar 
amounts have been adjusted correspondingly and have an effective date 
of January 1, 2004.
    The adjusted dollar amounts for calendar year 2004 are as follows:

Basic Statutory Mortgage Limits for Calendar Year 2004

Multifamily Loan Program

     Section 213--Cooperatives

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                   Bedrooms                     Non-elevator    Elevator
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0............................................         $42,121     44,849
1............................................          48,565     50,813
2............................................          58,572     61,787
3............................................          74,971     79,932
4+...........................................          83,521     87,741
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     Section 207 `` Manufactured Home Parks
    Per Space $17,847

    Dated: February 20, 2004.
John C. Weicher,
Assistant Secretary for Housing-Federal Housing Commissioner.
[FR Doc. 04-4481 Filed 2-27-04; 8:45 am]
BILLING CODE 4210-27-P