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USDA/RHS RIN: 0575-AD06 Publication ID: Fall 2016 
Title: ●Amendments for Seller Concessions, Military and Full-Time Student Applicants, and Repayment Ability 

Limiting seller and other financing concessions will limit increases to the property’s sales price, which can result from sales concessions/seller contributions. This in turn will help maintain loan amounts at affordable levels. Removing additional requirements placed on applicants who are active duty military or full-time students will improve consistency with other Federal programs and remove what can be viewed as disparate treatment of those serving our country and those bettering themselves through higher learning. Revising repayment ability to publish the repayment ratios in the program handbook and to include homeowner's association dues and other recurring, housing- related assessments in the PITI (principal, interest, taxes, and insurance) ratio will help ensure a loan amount is approved at an affordable level for the borrower. There are no direct costs associated with these proposed changes, whereas the benefits are numerous (e.g. lower credit risk, improved loan affordability, equal treatment, etc.).

Agency: Department of Agriculture(USDA)  Priority: Substantive, Nonsignificant 
RIN Status: First time published in the Unified Agenda Agenda Stage of Rulemaking: Proposed Rule Stage 
Major: No  Unfunded Mandates: No 
CFR Citation: 7 CFR 3550   
Legal Authority: 5 U.S.C. 301    42 U.S.C. 1480   
Legal Deadline:  None
Action Date FR Cite
Proposed Rule  11/00/2016 
Final Rule  04/00/2017 
Regulatory Flexibility Analysis Required: No  Government Levels Affected: None 
Small Entities Affected: No  Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: No 
Agency Contact:
Brooke Baumann
Loan Origination Branch Chief
Department of Agriculture
Rural Housing Service
STOP 0783, 1400 Independence Avenue SW.,
Washington, DC 20250
Phone:202 720-1474
Fax:202 720-2232