needed. Loan guarantees are also available to assist low and moderate income rural families in home acquisition. TYPES OF ASSISTANCE: 85 Direct Loans; Guaranteed/Insured Loans. USES AND USE RESTRICTIONS: Direct loans may be used for construction, repair or purchase of housing; to provide adequate sewage disposal facilities and/or safe water supply for the applicant's household; for weatherization; to purchase or install essential equipment if the equipment is normally sold with dwellings in the area; to buy a minimum adequate site on which to place a dwelling for the applicant's own use; and under certain conditions to finance a manufactured home and its site. Debts directly related to the house may under certain circumstances be refinanced with direct loans. Dwellings financed must be modest, decent safe and provide sanitary housing. For direct loans, the cost of dwelling financed cannot exceed the maximum dollar limitation established under section 203(b) of the National Housing Act as of September 30, 1998 for the area in which the property is located. For guaranteed loans, there is no loan limit; however, the proposed mortgage must be within qualifying ratios. The property must be located in a place that is rural in character and does not exceed 10,000 population or in certain cases a place whose population exceeds 10,000 but is not in excess of 25,000. Assistance is available in the States, the Commonwealth of Puerto
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