An Unnumbered Letter from the US Department of Agriculture (USDA) Office of Rural Development (RD) provides guidance and instructs USDA staff on reconciling procedural differences between the Section 538 Guaranteed Rural Rental Housing and Section 515 Rural Rental Housing Loan programs. More specifically, the letter clarifies issues concerning the use of Section 538 loan guarantees with existing Section 515 financed apartment complexes. The Letter contains a matrix comparing and contrasting the various requirements of 538 and 515 programs and provides a recommended approach when combining the two programs.

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