Sec. 05.09.01.06. Eligible Uses and Costs

A. Proceeds of loans may be used to finance the costs associated with the planning, development, acquisition, construction, reconstruction, rehabilitation, or improvement of a project, including, without limitation, the following:

(1) Costs of appraisals and other necessary studies, including compaction tests, soil borings, market analysis studies, and construction cost estimates;

(2) Architectural and engineering costs for design and supervision;

(3) Acquisition of land and improvements, and site preparation;

(4) Costs of bonds, permits, and fees;

(5) Indemnity and surety bonds;

(6) Carrying costs during construction including construction interest, real estate taxes, and property insurance;

(7) Financing fees and charges imposed by the Administration;

(8) Legal, processing, packaging, and marketing fees and charges;

(9) The costs of surveys, title examinations, and title insurance; and

(10) Other costs authorized by Housing and Community Development Article, §4-201(e), Annotated Code of Maryland, and acceptable to the Administration.

B. Program funds may also be used for loans to:

(1) Purchase existing or completed projects;

(2) Refinance a project; and

(3) Pay closing costs for loans.