Construction Deficiency [HUD] Law and Legal Definition
Pursuant to 24 CFR 203.200 [Title 24 Housing and Urban Development; Subtitle B Regulations Relating to Housing and Urban Development; Chapter II Office of Assistant Secretary for Housing Federal Housing Commissioner, Department of Housing and Urban Development; Subchapter B Mortgage and Loan Insurance Programs under National Housing Act and Other Authorities; Part 203 Single Family Mortgage Insurance; Subpart A Eligibility Requirements and Underwriting Procedures; Insured Ten-Year Protection Plans (Plan)], the term Construction Deficiencies means “defects (not of a structural nature) in a dwelling covered by an insured ten-year protection plan that are attributable to poor workmanship or to the use of inferior materials which result in the impaired functioning of the dwelling or some part thereof. Defects resulting from homeowner abuse or from normal wear and tear are not considered construction deficiencies.”
