Expanded Housing Choice

Requirements

To be eligible for an Expanded Housing Choice pricing incentive, all of the following must be met:

• The BorrowerBorrowerPerson who is the obligor per the Note. must agree to:
  • accept Housing Choice VouchersHousing Choice VouchersAny rental assistance payment or voucher to an eligible tenant under Section 8 of the United States Housing Act of 1938, 42 U.S.C. § 1437f, as amended. throughout the Mortgage LoanMortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. term;
  • not discriminate against applicants, tenants, their family members, and occupants for using Housing Choice VouchersHousing Choice VouchersAny rental assistance payment or voucher to an eligible tenant under Section 8 of the United States Housing Act of 1938, 42 U.S.C. § 1437f, as amended. to pay rent and other lawful fees, by:
    • applying stricter screening standards;
    • calculating any HCVHCVAny rental assistance payment or voucher to an eligible tenant under Section 8 of the United States Housing Act of 1938, 42 U.S.C. § 1437f, as amended. renter income requirements based on the full rent payment rather than on the HCVHCVAny rental assistance payment or voucher to an eligible tenant under Section 8 of the United States Housing Act of 1938, 42 U.S.C. § 1437f, as amended. renter portion of the rent;
    • charging larger
      • security deposits,
      • rent, or
      • fees; or
    • subjecting HCVHCVAny rental assistance payment or voucher to an eligible tenant under Section 8 of the United States Housing Act of 1938, 42 U.S.C. § 1437f, as amended. renters to additional or alternative community rules;
  • advertise the PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). and/or available units
    • with participating Public Housing Agencies, and
    • on https://www.affordablehousing.com (or successor site); and
  • execute a Modification to Multifamily Loan and Security Agreement (Expanded Housing Choice) (Form 6273).
• The PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). :
  • jurisdiction is eligible per the following table:

    Does the Property jurisdiction have Source of Income Protections for Housing Choice Voucher renters?	Expanded Housing Choice Eligibility
    Currently in effect	No
    Currently in effect, but enacted legislation will rescind them within 24 months after the Mortgage Loan Origination Date	Yes
    Not currently in effect	Yes
    Not currently in effect, but enacted legislation will establish them within 24 months after the Mortgage Loan Origination Date	No

  • is not already required to accept Housing Choice VouchersHousing Choice VouchersAny rental assistance payment or voucher to an eligible tenant under Section 8 of the United States Housing Act of 1938, 42 U.S.C. § 1437f, as amended. as a financing condition, such as per
    • an Affordable Regulatory AgreementAffordable Regulatory AgreementRegulatory, land use, extended use, or similar agreement or recorded restriction limiting rents, imposing maximum income restrictions on tenants, or placing other affordability restrictions on the use or occupancy of the Property (whether imposed by a government entity or self-imposed by a Borrower…, 
    • Sponsor-Initiated Affordability Agreement, or
    • LIHTCLIHTCFederal program offering tax credits to owners of eligible properties that contain low-income occupants and rent restrictions. agreement; and
  • on the Mortgage Loan Origination DateMortgage Loan Origination DateDate you fund a Mortgage Loan to the Borrower. , has at least 40% of its units within the applicable HUDHUDU.S. Department of Housing and Urban Development Fair Market Rent or Small Area Fair Market Rent as adjusted per the applicable Public Housing Agency payment standard.