7 CFR § 3560.663 - Post-payment responsibilities for loans subject to continued restrictive-use provisions.
---
identifier: "/us/cfr/t7/s3560.663"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "7 CFR § 3560.663 - Post-payment responsibilities for loans subject to continued restrictive-use provisions."
title_number: 7
title_name: "Agriculture"
section_number: "3560.663"
section_name: "Post-payment responsibilities for loans subject to continued restrictive-use provisions."
chapter_name: "RURAL HOUSING SERVICE, DEPARTMENT OF AGRICULTURE"
part_number: "3560"
part_name: "DIRECT MULTI-FAMILY HOUSING LOANS AND GRANTS"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "42 U.S.C. 1480."
regulatory_source: "69 FR 69106, Nov. 26, 2004, unless otherwise noted."
cfr_part: "3560"
---
# 3560.663 Post-payment responsibilities for loans subject to continued restrictive-use provisions.
(a) If a borrower prepays a loan and the housing project remains subject to restrictive-use provisions, the requirements of this section apply after prepayment.
(b) Owners of prepaid housing projects will be responsible for ensuring that the restrictive-use provisions agreed to as a condition of prepayment are observed.
(c) Owners must maintain appropriate documentation to demonstrate compliance with the restrictive-use provisions and must make the documentation and the housing project site available for Federal Government inspection upon request.
(1) Owners must document rent increases in accordance with subpart G of this part.
(2) Owners must document tenant eligibility in accordance with § 3560.152.
(3) In an Agency approved format, owners must provide the agency with a signed and dated certification within 30 days of the beginning of each calendar year for the full period of the restrictive-use provisions establishing that the restrictive-use provisions are being met.
(d) Owners must observe Agency policies on tenant grievances as described in § 3560.160. The Agency may enforce restrictive-use provisions through administrative and legal actions. Tenants may enforce the restrictive-use provisions by contacting the Agency or through legal action. The Agency will release the restrictive-use provisions when the Agency conditions have been met.