Cal. Code Regs. tit. 25 § 7936

Current through Register 2024 Notice Reg. No. 50, December 13, 2024

Section 7936 - Recertification of Eligibility

(a) Except where assistance is provided to a nonprofit corporation or stock cooperative corporation, a servicer of State loans shall be responsible for recertifying household eligibility and reevaluating the need for State assistance. Total or partial repayment to the state shall be required if the ratio of current housing costs to the purchaser's current gross monthly income has decreased by more than ten (10) percentage points below that ration which existed at the time of purchase of the assisted unit. Total repayment shall be required if the purchaser has acquired residential real property in addition to the property being assisted under the Program.

(b) The amount and method of repayment shall be determined jointly by the servicer of State loans and purchaser. Absent agreement by both parties, repayment shall not result in the proportion of the purchaser's income applied towards total monthly housing costs, exceeding that proportion in existence at the time of purchase. Repayment for the purpose of this section shall be conducted in accordance with Section 7928.

(c) The recertification and reevaluation shall be conducted every five (5) years until the State is either totally repaid or the assisted property is sold or its title transferred, whichever comes first. During the initial five (5) year period an additional review shall be conducted at the end of the second year.

Cal. Code Regs. Tit. 25, § 7936

1. Amendment filed 11-13-80 as an emergency; effective upon filing (Register 80, No. 46). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 3-13-81.
2. Certificate of Compliance including amendment transmitted to OAL 3-13-81 and filed 4-14-81 (Register 81, No. 16).
3. Amendment filed 6-11-81 as an emergency; effective upon filing (Register 81, No. 25).
4. Order of Repeal of 6-11-81 emergency order filed 6-19-81 by OAL pursuant to Government Code Section 11349.6 (Register 81, No. 25).
5. Amendment of subsections (a) and (b) filed 7-6-81 as an emergency; effective upon filing (Register 81, No. 28). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 11-3-81.
6. Certificate of Compliance as to 7-6-81 order transmitted to OAL 10-23-81 and filed 11-18-81 (Register 81, No. 47).
7. Amendment of subsection (c) filed 4-30-82; effective thirtieth day thereafter (Register 82, No. 18).

Note: Authority cited: Section 50406, Health and Safety Code. Reference: Sections 50775, 50776 and 50777, Health and Safety Code.