12.17.1.3 Release of Cash-Out/ Equity from Loan Proceeds

A. Projects with a 50% cash-out holdback escrow, set up at Endorsement on form HUD-92476.1M, Escrow Agreement for Deferred Repairs, may have escrowed funds released at the request of the Lender when all non-critical repairs and deferred accessibility repairs are successfully completed and evidence of clear title, lien satisfaction and latent defects coverage have been provided even if this is after 12 months from endorsement.