24 CFR § 291.545 - Financing purchase of the home.

---
identifier: "/us/cfr/t24/s291.545"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "24 CFR § 291.545 - Financing purchase of the home."
title_number: 24
title_name: "Housing and Urban Development"
section_number: "291.545"
section_name: "Financing purchase of the home."
chapter_name: "OFFICE OF ASSISTANT SECRETARY FOR HOUSING—FEDERAL HOUSING COMMISSIONER, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT"
subchapter_number: "I"
subchapter_name: "HUD-OWNED PROPERTIES"
part_number: "291"
part_name: "DISPOSITION OF HUD-ACQUIRED AND -OWNED SINGLE FAMILY PROPERTY"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "12 U.S.C. 1701  42 U.S.C. 1441, 1441a, 1551a, and 3535(d)."
regulatory_source: "56 FR 46956, Sept. 16, 1991, unless otherwise noted."
cfr_part: "291"
---


# 291.545 Financing purchase of the home.

(a) *Purchase using conventional financing.* If the law enforcement officer, teacher, or firefighter/emergency medical technician uses conventional financing to purchase a home under the GNND Sales Program, the amount of the mortgage may not exceed the discounted sales price of the home.

(b) *Purchase with FHA-insured mortgage.* (1) A law enforcement officer, teacher, or firefighter/emergency medical technician using an FHA-insured mortgage to finance purchase of the home may finance reasonable and customary closing costs with the FHA-insured mortgage.

(2) The amount of the FHA-insured mortgage may not exceed the discounted sales price of the home plus:

(i) The closing costs; and

(ii) The costs of rehabilitating and/or improving the home, where purchase of the home is being financed with an FHA-insured 203(k) rehabilitation loan (see 24 CFR part 203).

(c) *Closing costs and selling broker's commissions.* In no event will HUD pay a buyer's closing costs on the purchase of a property or a selling broker's commission through the GNND Sales Program.