§ 4-813. Eligibility for loan -- Short-term construction loans

   (a) Developer or nonprofit sponsor. -- To qualify for a short-term construction loan under § 4-804(2) of this subtitle, a developer or nonprofit sponsor shall:

   (1) provide construction costs, marketing data, and other information the Department requires; and

   (2) have a commitment from the Department under § 4-815(j) of this subtitle for permanent financing for the sale of each residence to be built or rehabilitated with the short-term construction loan.

(b) Nonprofit sponsor. -- To qualify for a short-term loan under § 4-804(3) of this subtitle, a nonprofit sponsor:

   (1) shall provide:

      (i) information on the costs of the proposed undertaking;

      (ii) marketing data; and

      (iii) other information the Department requires; and

   (2) shall have:

      (i) a commitment from the Department for permanent financing for the sale of each residence built or rehabilitated with the short-term loan; or

      (ii) approval from the Department to rent the residence subject to a lease purchase agreement acceptable to the Department.

HISTORY: An. Code 1957, art. 83B, § 2-609; 2005, ch. 26, § 2.