IMPORTANT INFORMATION REGARDING HUD APPROVAL

   HUD does not approve or disapprove nonprofits who provide down payment assistance gifts. However, nonprofits who provide mortgages MUST BE APPROVED BY HUD, this has caused confusion in the past. Please refer to the HUD mortgagee letter 00-8, dated March 2000, which addresses the approval issue.

   "There is widespread confusion regarding the Department's role in approving down payment assistance programs in the form of gifts.FHA does not "approve" down payment assistance programs in the form of gifts administered by charitable organization. Mortgage lenders are responsible for assuring that the gift to the homebuyer from the charitable organization meets the instructions described in HUD Handbook 4155.1,REV-$ (e.g. no repayment implied etc.). Thus, while FHA will not issue approval letters to non-profit agencies for their participation of HUD Homes at a discount, such letters are not to be confused as approval of the nonprofit agency's down payment assistance gift programs.FHA will not issue approval letter for down payment assistance gift programs."

If you are unsure of the insurability of the loan, using down payment assistance, please contact HUD @1-800-543-9378.

Genesis Housing Development, Corp., is a tax exempt 501(c)(3) nonprofit public corporation. Genesis provides down payment assistance grants to cutomers of the Alliance Housing Foundation DPA Program. You will need our tax ID number to put into CHUMS computer system, to assure insurability of the loan by HUD

GENESIS HOUSING DEVELOPMENT CORP.
TAX ID # 74-2321634