; (ii) violating any applicable codes regarding health and safety of rental dwellings; (iii) evicting tenants without sufficient cause; or (iv) offering at-risk mortgagees temporary interest-only modifications that do not support long-term affordability to borrowers; or (B) have foreclosed on more than 40 percent of occupied properties that are owned by the covered rental housing owner and subject to mortgages purchased from a government agency or enterprise; or (2) any entity that owns or holds a controlling interest in entities that, in aggregate, own— (A) more than 100 rental units that are located within in a single Metropolitan Statistical Area; (B) more than 1,000 rental units nationwide; or (C) rental units in three or more States. (c) Targeting disposition of FHA-Owned assets Section 204 of the National Housing Act ( 12 U.S.C. 1710 ) is amended by adding at the end the following new subsection: (m) Disposition requirements for FHA single-Family assets (1) Requirement Except to the extent necessary to comply with the capital ratio requirements of the Mutual Mortgage Insurance Fund under section 205(f) ( 12 U.S.C. 1711(f) ), the Secretary shall ensure that not less than 75 percent of the number of FHA assets sold in each fiscal year shall be made only to purchasers— (A) who will occupy the property that is the asset or is subject to the mortgage that is the asset; (B) that is a nonprofit organization that has among its primary purposes significant activities related to the provision of decent housing that is affordable to low- and moderate-income families; (C) that is a community land trust or land bank that meets such requirements as the Secretary shall establish; or (D) is a community-controlled entity that meets such requirements as the Secretary shall establish. (2) FHA assets For purposes of this subsection the term FHA asset means— (A) a property that— (i) is designed as a dwelling for occupancy by 1 to 4 families; (ii) was previously subject to a mortgage insured under the provisions of this title