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NSP funding or paid by the Developer and reimbursed by the County utilizing NSP funding . j . Allowed amount of NSP3 Homeowner Financial Assistance per buyer : The allowed amount of NSP3 Homeowner Financial Assistance per Buyer is described in the Program Manual . The total amount of Homeowner Financial Assistance will be recaptured and the obligation secured by a promissory note and mortgage with the Grantee named as lien holder, with an amount and terms as defined elsewhere in this section and in the Program Manual . k . Minimum cash contribution by buyer : Each buyer of an NSP3 home will provide a minimum amount of cash or family gifts toward the combined down payment and closing costs, as described in the Program Manual . I . Other limits on expenditures : Other acquisition , rehabilitation/ construction and soft costs listed in Exhibit A are not subject to per- home cost limits on a line - item basis, but must be reasonable and ordinary costs of development and , in the aggregate, must conform to the per- home cost limits and average costs described elsewhere in this Section I ( A ) ( 4 ) . No NSP3 funds may be spent for purchases of equipment or furnishings . m . Accounting for expenditures : Developer will account for total NSP3 expenditures per home by means of assigning an accounting code for NSP34unded or reimbursed expenses for each property and another accounting code , if applicable , for non - NSP3 funded expenditures ( if any) . At the time of the sale of an NSP3 -assisted home , Developer will provide Grantee with ,a complete accounting of NSP3 expenditures for that home and non - NSP3 expenditures, if any . The separate accounting of NSP3 and other funds used is required for establishing the maximum allowed sale price and will provide necessary financial data on NSP34unded expenditures in the event of a HUD audit of program activities . n . Sale price : The sale price of an NSP3 home shall either be the after- rehabilitation market value of the home or the total amount of NSP3 and non - NSP3 expenditures spent on the home , whichever is less . The market value of a home will be determined in accordance with the provisions in the Program Manual . o . Establishment of a lien in favor of Grantee : Upon sale of an NSP3 - funded home , Developer will cause the homebuyer( s ) to execute a promissory note and mortgage in favor of Grantee for the combined amount of the Homeowner Financial Assistance as defined herein and in the Program Manual . The note and mortgage must be prepared by Developer using forms provided by Grantee . Grantee must review and approve the language inserted in these form documents prior to the documents being executed by the homebuyer( s ) . p . Repayment of net proceeds of sale to Grantee : Upon sale of an NSP3 - funded home, Developer or applicable closing agent will transmit the net proceeds of sale to Grantee . Net proceeds of sale are defined as follows : ....... . . 4I' age