mortgage limits under section 220 sales housing mortgage insurance program

mortgage limits under section 220 sales housing mortgage insurance program Sec. 305. (a) Section 220(d) (3) (A) (i) of the National Housing Act is amended by striking out “(3) 75 per centum of such replacement cost in excess of $20,000” and inserting in lieu thereof “(3) 80 per centum of such replacement cost in excess of $20,000”. (b) Section 220(d) (3) (A) (i) of such Act is further amended by adding before the semicolon at the end thereof the following: “: Provided further, That if the mortgagor is a veteran and the mortgage to be insured under this section covers property upon which there is located a dwelling designed principally tor a one-family residence, the principal obligation may be in an amount equal to the sum of (1) 100 per centum of $15,000 of the Commissioner’s estimate of replacement cost of the property, as of the date the mortgage is accepted for insurance, (2) 90 per centum of such replacement cost in excess of $15,000 but not in excess of $20,000, and (3) 85 per centum of such replacement cost in excess of $20,000. As used herein, the term ‘veteran’ means any person who served on active duty in the Armed Forces of the United States for a period of not less than ninety days (or is certified by the Secretary of Defense as having performed extra-hazardous service), and who was discharged or released therefrom under conditions other than dishonorable”.