Code of Massachusetts Regulations 761 CMR - MASSACHUSETTS HOME MORTGAGE FINANCE AGENCY
The Code of Massachusetts Regulations (CMR) 761 pertains to the Massachusetts Home Mortgage Finance Agency (MHMFA), which is now known as the MassHousing. These regulations establish the framework for the Agency's operations in providing affordable housing financing, including loan eligibility, seller/servicer requirements, and loan servicing standards.
📘 Overview of 761 CMR
1. Purpose and Scope
MHMFA's program aims to assist creditworthy low- and moderate-income individuals seeking to purchase or rehabilitate homes, particularly in older neighborhoods facing deterioration. The program emphasizes the preservation of existing housing stock and involves appraising and underwriting properties based on defined criteria .(casetext.com)
2. Loan Eligibility Requirements
Income Limits: Adjusted annual income thresholds are set to determine borrower eligibility. For instance, a single-person household must have an adjusted income not exceeding $16,000 .
Loan Amounts: Maximum loan amounts are specified based on the type of property, such as $45,000 for a single-family unit.
Loan-to-Value Ratio: The principal loan amount should not exceed 95% of the property's value.
Insurance Requirements: Loans exceeding 80% of the property's value must be insured or guaranteed by federal or state agencies or have private mortgage insurance .(law.cornell.edu)
3. Seller/Servicer Qualifications
Entities participating as sellers or servicers must:
Be duly organized and in good standing in Massachusetts.
Be licensed as mortgage lenders.
Maintain servicing facilities within the Commonwealth staffed with trained personnel .(law.cornell.edu, law.cornell.edu)
4. Loan Servicing Standards
Escrow Payments: Servicers are required to collect escrow payments for taxes and insurance, maintaining trust accounts insured to the fullest extent legally possible .
Servicing Facilities: Servicers must maintain facilities within Massachusetts staffed with trained personnel to adequately service mortgage loans .(regulations.justia.com, law.cornell.edu)
📄 Accessing the Full Regulations
You can access the full text of 761 CMR through the following resources:
Massachusetts Trial Court Law Libraries: Provides the full text of the regulation.
Casetext: Offers the full text of 761 CMR, including all sections and amendments.
State Bookstore: Allows you to purchase a print copy of the regulation.
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