§ 622. Powers relative to purchase of and sale to mortgage lenders of mortgage loans; loans through mortgage lenders

The Agency shall have the following powers in addition to others granted in this chapter:

(1) To invest in, purchase or make commitments to purchase, and take assignments from mortgage lenders, of notes and mortgages evidencing mortgage loans for the purchase or refinancing of residential housing, whether or not for occupancy by persons and families of low and moderate income in this State upon the terms set forth in section 623 of this title.

(2) To make loans to mortgage lenders under terms and conditions set forth in section 623 of this title.

(3) To make commitments to purchase, and to purchase, service, and sell mortgage loans and to make loans directly upon the security of any such mortgage, provided the underlying mortgage loans shall have been made and shall be continued to be used solely to finance or refinance the construction, rehabilitation, purchase, or leasing of residential housing in this State.

(4) To sell, at public or private sale, with or without public bidding, any mortgage or other obligation held by the Agency.

(5) Subject to any agreement with bondholders or noteholders, to collect, enforce the collection of, and foreclose on any collateral securing its loans to mortgage lenders and acquire or take possession of such collateral and sell the same at public or private sale, with or without public bidding, and otherwise deal with such collateral as may be necessary to protect the interest of the Agency therein.

(6) Renegotiate, refinance, or foreclose or sell, or contract for the foreclosure of or sale of, any mortgage in default; waive any default or consent to the modification of the terms of any mortgage; commence any action to protect or enforce any right conferred upon it by any law, mortgage, contract or other agreement, and bid for and purchase such property at any foreclosure or at any other sale, or acquire or take possession of any such property; operate, manage, lease, dispose of, and otherwise deal with such property, in such manner as may be necessary to protect the interests of the Agency and the holders of its bonds, notes or other obligations.

(7) To purchase, make, or otherwise participate in the making, to enter into commitments, for the purchase, making, or participation in the making, of eligible loans for rehabilitation to persons and families of low and moderate income, and to owners of existing residential housing for occupancy by those persons and families, for the rehabilitation of existing residential housing owned by them. The loans may be insured or uninsured and shall be made with such security as the Agency considers advisable. They may be made in amounts sufficient to refinance existing indebtedness secured by the property, if the refinancing is determined by the Agency to be necessary to permit the owner to meet his or her housing costs without expending an unreasonable portion of his or her income on it. A loan for rehabilitation shall not be made unless the Agency determines that the loan is to be used primarily to make the housing more desirable to live in, to increase the market value of the housing, to comply with building, housing maintenance, fire, health, or similar codes and standards applicable to housing, to accomplish energy conservation related improvements, or to ensure independent living for elders or persons who have a disability. (Added 1973, No. 260 (Adj. Sess.), § 3, eff. April 11, 1974; amended 1977, No. 59, § 1, eff. April 23, 1977; 1987, No. 41, § 3; 2005, No. 189 (Adj. Sess.), § 3; 2013, No. 96 (Adj. Sess.), § 35.)