WAIS Document Retrieval[Code of Federal Regulations]
[Title 24, Volume 2, Parts 200 to 499]
[Revised as of April 1, 2000]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR203.501]

[Page 218]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
PART 203--SINGLE FAMILY MORTGAGE INSURANCE--Table of Contents
 
                  Subpart C--Servicing Responsibilities
 
Sec. 203.501  Loss mitigation.

    Mortgagees must consider the comparative effects of their elective 
servicing actions, and must take those appropriate actions which can 
reasonably be expected to generate the smallest financial loss to the 
Department. Such actions include, but are not limited to, deeds in lieu 
of foreclosure under Sec. 203.357, pre-foreclosure sales under 
Sec. 203.370, partial claims under Sec. 203.414, assumptions under 
Sec. 203.512, special forbearance under Secs. 203.471 and 203.614, and 
recasting of mortgages under Sec. 203.616. HUD may prescribe conditions 
and requirements for the appropriate use of these loss mitigation 
actions, concerning such matters as owner-occupancy, extent of previous 
defaults, prior use of loss mitigation, and evaluation of the 
mortgagor's income, credit and property.

[59 FR 50145, Sept. 30, 1994, as amended at 61 FR 35019, July 3, 1996]



