(a)      The Administration may:

            (1)      purchase or commit to purchase, from a mortgage lender that is eligible under § 4-236 of this subtitle, a note, mortgage, or partial interest in a note or mortgage that evidences:

                  (i)      a residential mortgage loan to a family of limited income; or

                  (ii)      a mortgage loan to a sponsor of a community development project or a public purpose project;

            (2)      make a loan to an eligible mortgage lender in accordance with this subtitle;

            (3)      finance, with proceeds of its revenue bonds or notes, all or part of a mortgage purchase program or a loan to a mortgage lenders program; and

            (4)      take any action necessary or convenient to carry out this subsection, including:

                  (i)      settling or compromising an obligation or debt to the Administration, subject to any agreement with bondholders;

                  (ii)      acquiring an interest in real or personal property by gift, purchase, foreclosure, or otherwise, and selling or otherwise disposing of the property;

                  (iii)      obtaining insurance against loss in connection with its property and other assets, including mortgage loans, in the amount and from the insurer that the Administration considers desirable;

                  (iv)      contracting for servicing of a mortgage loan or an interest in a mortgage loan that the Administration holds or takes as collateral; and

                  (v)      making a contract or commitment that relates to the exercise of any of the powers listed in this subsection.

      (b)      The Administration may adopt regulations or program directives, as appropriate, to carry out this section, including:

            (1)      procedures to submit requests for the purchase or sale of mortgage loans or for loans to the eligible mortgage lenders;

            (2)      restrictions as to the number of family units, locations, or other qualifications or characteristics of dwellings to be financed by residential mortgage loans;

            (3)      restrictions as to:

                  (i)      the interest rates on loans made from the proceeds of purchases of mortgage loans or from the proceeds of loans to eligible mortgage lenders; or

                  (ii)      returns realized by eligible mortgage lenders;

            (4)      restrictions on maturities and other terms of loans made from the proceeds of purchases of mortgage loans or from the proceeds of loans to eligible mortgage lenders;

            (5)      requirements as to the application by eligible mortgage lenders of the proceeds of the purchases or loans;

            (6)      schedules of fees and charges necessary to provide for expenses and reserves of the Administration;

            (7)      standards for allocating money among areas of the State and among eligible mortgage lenders; and

            (8)      provisions on warranties, representations, certifications, rights of inspection and audit, program sanctions, and other methods of ensuring compliance with the terms of purchase commitments and loans.