24 CFR § 291.603 - Purpose, scope, and applicability.

---
identifier: "/us/cfr/t24/s291.603"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "24 CFR § 291.603 - Purpose, scope, and applicability."
title_number: 24
title_name: "Housing and Urban Development"
section_number: "291.603"
section_name: "Purpose, scope, and applicability."
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"
---


# 291.603 Purpose, scope, and applicability.

The sale of Single Family Loans is at the discretion of the Secretary. All Single Family Loans will be sold without recourse to HUD and without FHA insurance. HUD may sell individual Single Family Loans or groups of Single Family Loans to Qualified Participants as a Competitive Sale of Single Family Loans, § 291.609, or as a Direct Sale of Single Family Loans, § 291.619. Nothing in this section shall be construed to prevent HUD from grouping Single Family Loans with other types of HUD assets for sale, including grouping any associated HUD-held mortgages subordinate to the respective assets. The procedures set out in this subpart, including any cross-referenced regulations, documentation, and published notices detailed in this subpart, govern the Single Family Sales.