Eligible Buildings.

A. Buildings shall meet the following requirements: (1) Be located within the State; (2) Contain not more than four residential units; (3) Be properly zoned for the proposed use; (4) Be in need of modifications considered eligible under this chapter; (5) Be owned by an eligible grantee who shall provide assurance of title or evidence of ownership acceptable to the Department; (6) Be covered by property insurance; and (7) If the building is in the 100-year flood plain, as designated by the U.S. Department of Housing and Urban Development, be covered by a flood plain insurance policy. B. A grant may not be approved unless: (1) Safe, sanitary, and adequate water supply and sewage disposal are available; and (2) The building is structurally sound and free of health and safety hazards. C. A manufactured housing unit is eligible if it is intended for residential use by a single household, and meets the conditions of COMAR 05.04.01.05B . D. Manufactured homes which are taxed as personal property may be eligible buildings and shall be reviewed by the Department on a case-by-case basis before grant approval. E. Condominiums and cooperative units owned by an eligible grantee may be eligible buildings and shall be reviewed by the Department on a case-by-case basis before grant approval.