HUD-92561 Mortgagor's Contract

U.S. Department of Housing
and Urban Development
Office of Housing
Federal Housing Commissioner

Borrower’s Contract with Respect to
Hotel and Transient Use of Property
FHA Case Number:

OMB Approval No. 2502-0059
(Expires 9/30/2007)

Borrower's Name:

Property Address:

By this contract between the person signing as Borrower/Mortgagor, and hereinafter referred to as the Borrower, and the Secretary
of Housing and Urban Development, hereinafter referred to as the
Secretary, the parties hereto agree and covenant as follows:
The Secretary has been requested to insure a mortgage on the
housing identified in the caption hereof under the provisions of the
National Housing Act, as amended:
The Borrower, as the owner of said property by reason of such
mortgage insurance, will receive the benefits of said Act;
Sec. 513(a) of the National Housing Act, as amended, provides that
as long as mortgage insurance is outstanding no portion of the
housing covered by any such mortgage shall be used for transient or
hotel purposes;

The Secretary has defined the term transient or hotel purposes to
mean (1) any rental for a period less than 30 days, or (2) any rental
if the occupants of the housing accommodations are provided
customary hotel services such as room service for food and beverages, maid service, furnishing and laundering of linen, and bellboy
service.
In consideration of the foregoing the Borrower covenants and
agrees that so long as any of the housing identified in the caption
hereof or any part thereof is subject to a mortgage insured under the
provisions of the National Housing Act, the Borrower, his/her
successors and assigns, will not rent, offer to rent, permit the rental
or permit the offering for rental of such housing or any part thereof
for transient of hotel purposes.

Pursuant to 28 U.S.C. Section 1746, I certify under penalty of perjury that the foregoing is true and correct.
Warning: HUD will prosecute false claims and statements. Conviction may result in criminal and/or civil penalties.
(18 U.S.C. 1001, 1010, 1012; 31 U.S.C. 3729, 3802)
Date on which this Contract
is Executed:

Borrower's Signature:

X
Co-Borrower's Signature:

X
Secretary of HUD, by Federal Housing Commissioner:
(Signature of HUD Authorized Agent)

X

Previous editions are obsolete.

Page 1 of

form HUD-92561 (3/93)
ref Handbook s 4000.2 & 4155.1