Form Hud 52531a - Pbv Agreement To Enter Into Housing Assistance Payments Contract - New Construction Or Rehabilitation Page 32

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2.11 FLOOD INSURANCE
If the project is located in an area that has been identified by the Federal Emergency
Management Agency as an area having special flood hazards and if the sale of flood
insurance has been made available under the National Flood Insurance Program, the
owner agrees that:
(1)
the project will be covered, during the life of the property, by flood
insurance in an amount at least equal to its development or project cost (less estimated
land cost) or to the limit of coverage made available with respect to the particular type of
property under the National Flood Insurance Act of 1968, whichever is
less;
and (2) that
it will advise any prospective purchaser or transferee of the property in writing of the
continuing statutory requirement to maintain such flood insurance during the life of the
property.
Page 15 of 15
HUD 52531B
Agreement, Part 2 of 2
Previous Editions are obsolete
Project-based Voucher Program

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