A person can be an eligible borrower subject to the following general requirements: The person shall be legally able to enter into contractual obligations; The borrower may not own any other real property at the time the insured mortgage loan closes, except a: Cemetery plot, Lot on which the residential housing unit to be financed with proceeds of the mortgage loan is to be built; If the applicable loan program permits prior ownership of a borrower's principal residence, the prior or existing residence of the borrower shall be subject to a contract of sale at the time of application for mortgage insurance from the Fund, and shall be conveyed by the time the Fund-insured mortgage loan is closed; The borrower shall establish to the satisfaction of the Fund the capacity to meet the financial obligations of the loan; The borrower shall have maintained a credit standing and history of financial management which is acceptable to the Fund.