Section 4-226 - Financing procedures - Powers of Administration.

§ 4-226. Financing procedures - Powers of Administration.
 

(a)  Authority to foreclose or take similar action.-  

(1) In connection with property on which it holds a mortgage, the Administration may: 

(i) foreclose on the property; 

(ii) begin an action to protect or enforce a right conferred on the Administration by law, or any agreement; 

(iii) bid for and purchase the property at a foreclosure or other sale; and 

(iv) acquire and take possession of the property. 

(2) In an action under this subsection, the Administration may: 

(i) complete, administer, and pay the principal of and interest on an obligation incurred in connection with the property; and 

(ii) dispose of and otherwise deal with the property, so as to protect the interests of the Administration. 

(b)  Liens.-  

(1) This subsection does not apply to a lien held in connection with a public purpose project. 

(2) The Administration may not lend money on the security of property unless the lien on the property is superior to all other liens, except for: 

(i) a lien for taxes owed to the State or a political subdivision; or 

(ii) an earlier mortgage lien. 

(c)  Sales of mortgages.-  

(1) At public or private sale and with or without public bidding, the Administration may sell a mortgage or other obligation that the Administration holds. 

(2) The Administration may retain the servicing rights and charge servicing fees for any mortgage or other obligation the Administration sells. 
 

[An. Code 1957, art. 83B, § 2-204(15)(i); 2005, ch. 26, § 2; 2008, ch. 528.]