§ 601. Definitions

The following words and terms, unless the context clearly indicates a different meaning, shall have the following meaning:

(1) “Agency” means the Vermont Housing Finance Agency created by this chapter.

(2) “Bonds, notes, and other obligations” or “bonds, bond anticipation notes, or other obligations” means any bonds, notes, debentures, interim certificates, or other evidences of financial indebtedness issued by the Agency pursuant to this chapter.

(3) “Eligible security” means any security or obligation payable from or evidencing an interest in mortgages or other obligations securing loans to finance residential housing in the State.

(4) “Federally insured mortgage loan” means a mortgage loan for residential housing insured or guaranteed by the United States or an agency or instrumentality thereof, or a commitment by the United States or an agency or instrumentality thereof to insure such a mortgage.

(5) “Federal mortgage loan” means a mortgage loan for residential housing made by the United States or an agency or instrumentality thereof or a commitment by the United States or an agency or instrumentality thereof to make such a mortgage loan.

(6) “Housing development costs” means the costs incurred in connection with the acquisition, construction, or rehabilitation of residential housing, including the costs of its physical construction, the costs of acquisition of land, real or personal property, rights, rights-of-way, easements, and franchises necessary or convenient for the construction, and the costs of legal, administrative, architectural and related professional services, the costs of insurance, project reports, survey, other preliminary expenses, and the costs of working capital, reserves, and carrying charges.

(7) “Housing sponsor” or “sponsor” means a person who is organized on a nonprofit or limited profit basis or agrees to appropriate conditions as described in subdivision 624(b)(5) of this title and who is approved by the Agency as qualified either to own, construct, acquire, rehabilitate, operate, manage, or maintain residential housing.

(8) “Mortgage” means a mortgage deed, deed of trust, or other instrument that shall constitute a lien on real property in fee simple or on a leasehold under a lease having a remaining term, at the time such mortgage is acquired, that does not expire prior to the maturity date.

(9) “Mortgage lender” means any bank or trust company, mortgage company approved by any government-sponsored entity, savings bank, savings and loan association, industrial bank, credit union, National Banking Association, federal savings and loan association, federal credit union, or other financial institution or governmental agency or instrumentality that customarily provides or otherwise aids in the financing of mortgage loans on residential housing located in the State.

(10) “Mortgage loan” means and includes:

(A) an interest-bearing or noninterest bearing obligation secured by either a mortgage or other security instrument constituting a lien on land and improvements in the State;

(B) an interest-bearing or noninterest bearing obligation secured by a pledge of a cooperative interest and a conditional assignment of the proprietary lease incidental thereto;

(C) an interest-bearing or noninterest bearing obligation secured by the owner-occupant’s interest in a mobile home, provided that:

(i) the mobile home is to be sited in a manner intended for continuous residential occupancy by the owner on land owned by the owner of the mobile home and shall be secured by a mortgage that shall constitute a first lien on the mobile home and the real property to which it is affixed; or

(ii) the mobile home is to be sited in a manner intended for continuous residential occupancy on land leased by the owner of the mobile home and shall be secured by a note or otherwise and collateral assignment of a lease of real property that shall constitute a first lien upon the mobile home. Notwithstanding any other provision of this chapter, the lease of the land upon which the mobile home is sited shall be for a term of at least one year, shall be renewable for periods of at least one year, and shall comply with the requirements of section 6236 of this title. This definition shall not preclude the requirement of security in addition to that specified in this subsection for any mortgage loan.

(11) “Persons and families of low and moderate income” means persons and families irrespective of race, creed, national origin, sex, sexual orientation, or gender identity deemed by the Agency to require such assistance as is made available by this chapter on account of insufficient personal or family income, taking into consideration, without limitation, such factors as:

(A) the amount of the total income of such persons and families available for housing needs;

(B) the size of the family;

(C) the cost and condition of residential housing available;

(D) the cost and availability of mortgage loans on residential housing in the State;

(E) the eligibility of such persons and families for federal housing assistance of any type predicated upon a low-income basis or upon the basis of the age of such persons;

(F) the ability of such persons and families to compete successfully in the normal housing market and to pay the amounts at which private enterprise is providing decent, safe, and sanitary housing, and deemed by the Agency therefore to be eligible to occupy residential housing constructed and financed, wholly or in part, with insured or guaranteed construction loans or insured or guaranteed mortgages, or with other public or private assistance other than as provided by this chapter.

(12) “Real property” means all lands, including improvements, and fixtures thereon, and property of any nature appurtenant thereto, or used in connection therewith, and every estate, interest and right, legal or equitable, therein, including terms of years and liens by way of judgment, mortgage, or otherwise and the indebtedness secured by such liens.

(13) “Rehabilitation” means the rehabilitation, improvement, and repair of residential housing and facilities incidental thereto undertaken primarily to provide dwelling accommodations for occupancy by persons and families in this State.

(14) “Residential housing” means residential housing units designed primarily to provide principal dwelling accommodations whether on a permanent or temporary basis for persons or families, which may include the land and improvements thereon and such nonhousing facilities or services considered necessary or convenient or part of a community development plan by the Agency in connection with the residential housing, including commercial enterprises and government functions within the same building. “Residential housing” includes single or multi-family dwellings, congregate homes, residential care homes as defined in 33 V.S.A. § 7102, nursing homes, transitional housing, emergency shelters for the homeless or displaced, mobile homes, single room occupancy dwellings, and group homes for persons with psychiatric or developmental disabilities. “Residential housing” also means cooperative interests and mobile home parks as defined in section 6201 of this title.

(15) “Cooperative Housing Corporation” means a domestic corporation qualified under 11 Vt. Stat. Ann. chapter 14.

(16) “Cooperative interest” means a cooperative interest as defined in 11 Vt. Stat. Ann. chapter 14.

(17) “Member” means a person who owns a cooperative interest in a Cooperative Housing Corporation.

(18) “Mobile home” means “mobile home” as that term is defined in 9 Vt. Stat. Ann. chapter 72.

(19) “Equity loan” means a mortgage loan to a housing sponsor secured by a mortgage on property constituting residential housing in an amount that, when added to the amount of any prior mortgages on the property, does not exceed 90 percent of the value of the property plus the value of additional collateral deemed appropriate and as determined by the Agency, provided the Agency has made a finding that the effect of such loan will be to maintain or increase the supply of residential housing in the State for persons and families of low and moderate income. (Added 1973, No. 260 (Adj. Sess.), § 3, eff. April 11, 1974; amended 1975, No. 176 (Adj. Sess.), § 1, eff. March 26, 1976; 1987, No. 41, § 1; 1987, No. 250 (Adj. Sess.), § 1, eff. June 13, 1988; 1989, No. 77, §§ 1, 2, eff. June 7, 1989; 1991, No. 135 (Adj. Sess.), § 13; 1993, No. 141 (Adj. Sess.), § 18, eff. May 6, 1994; 2005, No. 189 (Adj. Sess.), § 1; 2007, No. 41, § 16; 2013, No. 96 (Adj. Sess.), § 34.)