
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 42USC1452c]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
       CHAPTER 8A--SLUM CLEARANCE, URBAN RENEWAL, AND FARM HOUSING
 
             SUBCHAPTER II--SLUM CLEARANCE AND URBAN RENEWAL
 
     Part A--Urban Renewal Projects, Demolition Programs, and Code 
                          Enforcement Programs
 
Sec. 1452c. Nullification of right of redemption of single 
        family mortgagors under rehabilitation loan program
        

(a) In general

    Whenever with respect to a single family mortgage securing a loan 
under section 1452b \1\ of this title, the Secretary of Housing and 
Urban Development or its foreclosure agent forecloses in any Federal or 
State court or pursuant to a power of sale in a mortgage, the purchaser 
at the foreclosure sale shall be entitled to receive a conveyance of 
title to, and possession of, the property, subject to any interests 
senior to the interests of the Secretary. With respect to properties 
that are vacant and abandoned, notwithstanding any State law to the 
contrary, there shall be no right of redemption (including all instances 
any right to possession based upon any right of redemption) in the 
mortgagor or any other person subsequent to the foreclosure sale in 
connection with such single family mortgage. The appropriate State 
official or the trustee, as the case may be, shall execute and deliver a 
deed or other appropriate instrument conveying title to the purchaser at 
the foreclosure sale, consistent with applicable procedures in the 
jurisdiction and without regard to any such right of redemption.
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    \1\ See References in Text note below.
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(b) Foreclosure by others

    Whenever with respect to a single family mortgage on a property that 
also has a single family mortgage securing a loan under section 1452b 
\1\ of this title, a mortgagee forecloses in any Federal or State court 
or pursuant to a power of sale in a mortgage, the Secretary of Housing 
and Urban Development, if the Secretary is purchaser at the foreclosure 
sale, shall be entitled to receive a conveyance of title to, and 
possession of, the property, subject to the interests senior to the 
interests of the mortgagee. Notwithstanding any State law to the 
contrary, there shall be no right of redemption (including in all 
instances any right to possession based upon any right of redemption) if 
the mortgagor or any other person subsequent to the foreclosure sale to 
the Secretary in connection with a property that secured a single family 
mortgage for a loan under section 1452b \1\ of this title. The 
appropriate State official or the trustee, as the case may be, shall 
execute and deliver a deed or other appropriate instrument conveying 
title to the Secretary, who is the purchaser at the foreclosure sale, 
consistent with applicable procedures in the jurisdiction and without 
regard to any such right of redemption.

(c) Verification of title

    The following actions shall be taken in order to verify title in the 
purchaser at the foreclosure sale:
        (1) In the case of a judicial foreclosure in any Federal or 
    State court, there shall be included in the petition and in the 
    judgment of foreclosure a statement that the foreclosure is in 
    accordance with this subsection and that there is no right of 
    redemption in the mortgagor or any other person.
        (2) In the case of a foreclosure pursuant to a power of sale 
    provision in the mortgage, the statement required in paragraph (1) 
    shall be included in the advertisement of the sale and either in the 
    recitals of the deed or other appropriate instrument conveying title 
    to the purchaser at the foreclosure sale or in an affidavit or 
    addendum to the deed.

(d) Definitions

    For purposes of this section:
        (1) The term ``mortgage'' means a deed of trust, mortgage, deed 
    to secure debt, security agreement, or any other form of instrument 
    under which any interest in property, real, personal, or mixed, or 
    any interest in property, including leaseholds, life estates, 
    reversionary interests, and any other estates under applicable State 
    law, is conveyed in trust, mortgaged, encumbered, pledged, or 
    otherwise rendered subject to a lien, for the purpose of securing 
    the payment of money or the performance of an obligation.
        (2) The term ``single family mortgage'' means a mortgage that 
    covers property that includes a 1- to 4-family residence.

(Pub. L. 101-235, title VII, Sec. 701, Dec. 15, 1989, 103 Stat. 2055.)

                       References in Text

    Section 1452b of this title, referred to in subsecs. (a) and (b), 
was repealed by Pub. L. 101-625, title II, Sec. 289(b)(1), Nov. 28, 
1990, 104 Stat. 4128.

                          Codification

    Section was enacted as part of the Department of Housing and Urban 
Development Reform Act of 1989, and not as part of the Housing Act of 
1949 which comprises this chapter.

                  Section Referred to in Other Sections

    This section is referred to in title 12 section 3763.
