# Housing and Community Development (GHS)

## Title 3. Division of Credit Assurance

### Subtitle 2. Maryland Housing Fund

#### Section 3-206

(a) In offering insurance and other forms of credit enhancement, the Department shall adopt eligibility standards that are reasonable to aid in:

  (1) financing the purchase, construction, or rehabilitation of:

    (i) housing projects;

    (ii) special housing facility projects, consisting of the acquisition, rehabilitation, improvement, renovation, construction, financing, or refinancing of a building that:

      (1) provides common, shared, or independent living, dining, kitchen, sanitary, and sleeping facilities;

      (2) may include supportive services or supervisory live-in personnel for individuals with specialized housing needs; and

      (3) may include nonresidential facilities to serve individuals with special needs who may or may not be residents of the special housing facility;

    (iii) rehabilitation projects, as defined in Sec. 4-901 of this article;

    (iv) energy conservation projects;

    (v) solar energy projects;

    (vi) public purpose projects;

    (vii) infrastructure projects; or

    (viii) business projects; and

  (2) the sale or other transfer of an obligation that is:

    (i) denoted as a bond, note, collateralized obligation, grantor trust, conduit, or other form of security or obligation; and

    (ii) backed directly or indirectly by a mortgage or a payment derived from a mortgage.

(b) The standards adopted under subsection (a) of this section shall ensure that a lender benefiting from insurance or other credit enhancement provided by the Department is responsible and able to service the loan.

(c) A determination by the Secretary is conclusive if it relates to the eligibility of a project, facility, or undertaking for:

  (1) insurance or other credit enhancement; or

  (2) other action taken by the Department, in its own name or in the name of the Fund, under this subtitle.

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Md. Code Ann., Hous. & Cmty. Dev. (as displayed at mgaleg.maryland.gov, October 16, 2026)