§ 133-9. Replacement housing for homeowners. - North Carolina Statutes

§133‑9.  Replacement housing for homeowners.

(a)        In addition topayments otherwise authorized by this Article and subject to the provisions ofG.S. 133‑10.1 the agency shall make an additional payment not in excessof twenty‑two thousand five hundred dollars ($22,500) to any displacedperson who is displaced from a dwelling actually owned and occupied by suchdisplaced person for not less than 180 days prior to the initiation ofnegotiations for the acquisition of the property. Such additional payment shallinclude the following elements:

(1)        The amount, if any,which when added to the acquisition cost of the dwelling acquired by theagency, equals the reasonable cost of a comparable replacement dwelling. Alldeterminations required to carry out this section shall be made in accordancewith standards established by the lead agency.

(2)        The amount, if any,which will compensate such displaced person for any increased interest costsand other debt service costs which such person is required to pay for financingthe acquisition of any such comparable replacement dwelling. Such amount shallbe paid only if the dwelling acquired by the agency was encumbered by a bonafide mortgage which was a valid lien on such dwelling for not less than 180days immediately prior to the initiation of negotiations for the acquisition ofsuch dwelling in accordance with criteria to be established by the lead agency.

(3)        Reasonable expensesincurred by such displaced person for evidence of title, recording fees, andother closing costs incident to the purchase of the replacement dwelling, butnot including prepaid expenses.

(b)        The additionalpayment authorized by this section shall be made only to a displaced person whopurchases and occupies a comparable replacement dwelling within one year afterthe date on which such person receives final payment from the agency for theacquired dwelling, except that the agency may extend such period for goodcause.  If such period is extended, the payment under this section shall bebased on the costs of relocating the person to a comparable replacementdwelling within one year of such date.

(c)        The agency may, incooperation with any federal agency upon application by a mortgagee, insure anymortgage (including advances during construction) on a comparable replacementdwelling executed by a displaced person assisted under this section, whichmortgage is eligible for insurance under any federal law administered by suchagency notwithstanding any requirements under such law relating to age, physicalcondition, or other personal characteristics of eligible mortgagors, and maymake commitments for the insurance of such mortgage prior to the date ofexecution of the mortgage. (1971, c. 1107, s. 1; 1981, c. 101, s. 1; 1989, c. 28,s. 3.)