305.606. Acquisition costs for dwelling--interest and debt service costs--title, closing costs--eligibility--mortgage.

MISSOURI STATUTES AND CODES

305.606. Acquisition costs for dwelling--interest and debt service costs--title, closing costs--eligibility--mortgage.

Acquisition costs for dwelling--interest and debt servicecosts--title, closing costs--eligibility--mortgage.

305.606. 1. In addition to payments otherwise authorizedor required by sections 305.600 to 305.630, the head of thedisplacing agency shall make an additional payment not in excessof twenty-two thousand five hundred dollars to any displacedperson who is displaced from a dwelling actually owned andoccupied by such displaced person for not less than one hundredeighty days prior to the initiation of negotiations for theacquisition of the property. Such additional payment shallinclude the following elements:

(1) The amount, if any, which when added to the acquisitioncost of the dwelling acquired by the displacing agency, equalsthe reasonable cost of a comparable replacement dwelling;

(2) The amount, if any, which will compensate suchdisplaced person for any increased interest costs and other debtservice costs which such person is required to pay for financingthe acquisition of any such comparable replacement dwelling.Such amount shall be paid only if the dwelling acquired by thedisplacing agency was encumbered by a bona fide mortgage whichwas a valid lien on such dwelling for not less than one hundredeighty days immediately prior to the initiation of negotiationsfor the acquisition of such dwelling;

(3) Reasonable expenses incurred by such displaced personfor evidence of title, recording fees, and other closing costsincident to the purchase of the replacement dwelling, but notincluding prepaid expenses.

2. The additional payment authorized by this section shallbe made only to a displaced person who purchases and occupies adecent, safe and sanitary replacement dwelling within one yearafter the* date on which such person receives final payment fromthe displacing agency for the acquired dwelling or the date onwhich the displacing agency's obligation under section 305.609is met, whichever is later, except that the displacing agencymay extend such period for good cause. If such period isextended, the payment under this section shall be based on thecosts of relocating the person to a comparable replacementdwelling within one year of such date.

3. The head of any state agency may, upon application by amortgagee, insure any mortgage (including advances duringconstruction) on a comparable replacement dwelling executed by adisplaced person under this section, which mortgage is eligiblefor insurance under any state law administered by such agencynotwithstanding any requirements under such law relating to age,physical condition, or other personal characteristics ofeligible mortgagors, and may make commitments for the insuranceof such mortgage prior to the date of execution of the mortgage.