# 24 CFR § 203.501: Loss mitigation

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/ecfr-24-203.501

## Section

- **Citation:** 24 CFR § 203.501
- **Heading:** Loss mitigation
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** September 22, 2026
- **Source:** Publisher's official text
- **Location:** Title 24—Housing and Urban Development > Subtitle B—Regulations Relating to Housing and Urban Development > CHAPTER II—OFFICE OF ASSISTANT SECRETARY FOR HOUSING—FEDERAL HOUSING COMMISSIONER, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT > SUBCHAPTER B—MORTGAGE AND LOAN INSURANCE PROGRAMS UNDER NATIONAL HOUSING ACT AND OTHER AUTHORITIES > PART 203—SINGLE FAMILY MORTGAGE INSURANCE > Subpart C—Servicing Responsibilities > General Requirements

## Text

Mortgagees must consider the comparative effects of their elective servicing actions, and must take those appropriate actions which can reasonably be expected to generate the smallest financial loss to the Department. Such actions include, but are not limited to, deeds in lieu of foreclosure under § 203.357, pre-foreclosure sales under § 203.370, partial claims under § 203.414, assumptions under § 203.512, special forbearance under §§ 203.471 and 203.614, and recasting of mortgages under § 203.616. HUD may prescribe conditions and requirements for the appropriate use of these loss mitigation actions, concerning such matters as owner-occupancy, extent of previous defaults, prior use of loss mitigation, and evaluation of the mortgagor's income, credit and property.
[59 FR 50145, Sept. 30, 1994, as amended at 61 FR 35019, July 3, 1996]

## Nearby sections

- [24 CFR § 203.500 § 203.500 Mortgage servicing generally.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.500.md)
- [24 CFR § 203.501 § 203.501 Loss mitigation.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.501.md)
- [24 CFR § 203.502 § 203.502 Responsibility for servicing.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.502.md)
- [24 CFR § 203.508 § 203.508 Providing information.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.508.md)
- [24 CFR § 203.510 § 203.510 Release of personal liability.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.510.md)
- [24 CFR § 203.512 § 203.512 Free assumability; exceptions.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.512.md)
- [24 CFR § 203.550 § 203.550 Escrow accounts.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.550.md)
- [24 CFR § 203.552 § 203.552 Fees and charges after endorsement.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.552.md)
- [24 CFR § 203.554 § 203.554 Enforcement of late charges.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.554.md)
- [24 CFR § 203.556 § 203.556 Return of partial payments.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.556.md)
- [24 CFR § 203.558 § 203.558 Handling prepayments.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.558.md)
- [24 CFR § 203.600 § 203.600 Mortgage collection action.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.600.md)
- [24 CFR § 203.602 § 203.602 Delinquency notice to mortgagor.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.602.md)
- [24 CFR § 203.604 § 203.604 Contact with the mortgagor.](https://www.frixlaw.com/law-library/statutes/ecfr-24-203.604.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-24-203.501. Check the current official text before relying on it. Not legal advice.