| a. | Eligibility. Rental housing may be developed under the Section 184 Program if the property meets the definition of single-family structure stated in Paragraph 4.2a. Multifamily housing may not be developed under Section 184. |
All rental housing developed under the Section 184 Program must either be owned by:
| 1. | An Indian family who is an owner-occupant (i.e., lives in one of the units); or |
| 2. | An Indian housing authority/tribally designated housing entity; or |
Other forms of investor-owned rental housing are not permitted under the Section 184 Program.
| b. | Hotel and Transient Units. Section 184 units must be used as permanent housing. Hotel and Transient Use Certifications (form HUD 92561) must be signed by the borrower and obtained by the lender for every application on property containing two or more family units or a single family unit that is one of a group of five or more dwellings held by the same borrower. This is HUD’s assurance that the property will not be used for hotel or transient purposes or otherwise be rented for periods of less than 30 days. |
