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Code · U.S. Code · Title 12 - BANKS AND BANKING · CHAPTER 38— MULTIFAMILY MORTGAGE FORECLOSURE · § 3701

§ 3701. Findings and purpose

519 words·~2 min read·/usc/title-12/section-3701

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)The Congress finds that—
(1)disparate State laws under which the Secretary of Housing and Urban Development forecloses multifamily mortgages burden the programs administered by the Secretary pursuant to these authorities, and cause detriment to the residents of the affected projects and the community generally;
(2)long periods to complete the foreclosure of these mortgages under certain State laws lead to deterioration in the condition of the properties involved; necessitate substantial Federal management and holding expenditures; increase the risk of vandalism, fire loss, depreciation, damage, and waste with respect to the properties; and adversely affect the residents of the projects and the neighborhoods in which the properties are located;
(3)these conditions seriously impair the Secretary’s ability to protect the Federal financial interest in the affected properties and frustrate attainment of the objectives of the underlying Federal program authorities, as well as the national housing goal of “a decent home and a suitable living environment for every American family”;
(4)application of State redemption periods to these mortgages following their foreclosure would impair the salability of the properties involved and discourage their rehabilitation and improvement, thereby compounding the problems referred to in clause (3);
(5)the availability of a uniform and more expeditious procedure for the foreclosure of these mortgages by the Secretary and continuation of the practice of not applying postsale redemption periods to such mortgages will tend to ameliorate these conditions; and
(6)providing the Secretary with a nonjudicial foreclosure procedure will reduce unnecessary litigation by removing many foreclosures from the courts where they contribute to overcrowded calendars.
(b)The purpose of this chapter is to create a uniform Federal foreclosure remedy for multifamily mortgages.
(Pub. L. 97–35, title III, § 362, Aug. 13, 1981, 95 Stat. 422; Pub. L. 102–550, title V, § 517(a), Oct. 28, 1992, 106 Stat. 3791.)
Connections71 cite this · traces to 1
Cited by 71 sections · top 60
U.S. Code
Traces to 1 document
10 references not yet in our index
  • Pub. L. 97–35, title III, § 362
  • 95 Stat. 422
  • Pub. L. 102–550, title V, § 517(a)
  • 106 Stat. 3791
  • Pub. L. 102–550, § 517(a)(1)
  • Pub. L. 102–550, § 517(a)(2)
  • Pub. L. 97–35, title III, § 371
  • 95 Stat. 431
  • Pub. L. 97–35
  • Pub. L. 97–35, title III, § 361
Citation graph
cites case law
§ 3701
Findings and purpose
U.S.C.×53
Fed. Reg.×9
Stat.×4
Bills×3
Stat. Comp.×2
Pub. L.Pub. L. 97–35, title III, § 362
Stat.95 Stat. 422
Pub. L.Pub. L. 102–550, title V, § 517(a)
Stat.106 Stat. 3791
Pub. L.Pub. L. 102–550, § 517(a)(1)
Cites 11 · showing 6Cited by 71 across 5 sources
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