1. Short title This Act may be cited as the Preserving Homes and Communities Act of 2024 . 2. Sale of FHA non-performing single family mortgage loans (a) In general Title II of the National Housing Act ( 12 U.S.C. 1707 et seq. ) is amended by adding at the end the following: 259. Sale of non-performing single family mortgage loans (a) Single family sales The Secretary may conduct sales of 1 or more single family non-performing residential mortgage loans insured under this title only if the following requirements are met: (1) The Secretary determines that no other reasonable measures other than a sale are available to restore the Fund to, or keep the Fund above, the minimum capital requirements under section 205(f)(4). (2) The Secretary establishes a system that provides priority to Federal, State, local, or Tribal governments or nonprofit organizations that have the capacity and experience required for buying, servicing, and resolving single family mortgage loans in a manner that promotes affordable housing, fair housing, affordable homeownership, housing counseling, or neighborhood stabilization. (3) Applicable loss mitigation required under section 230 is exhausted before any loan is placed into the loan sale. (4) Clear, written notice is sent by certified and first-class mail by the servicer to the borrower of the loan, all owners of record, and any applicable estate of the borrower with a copy sent to the Secretary, not less than 90 days before the inclusion of the loan in any single family sale— (A) stating that the loan will be included in a single family sale of non-performing loans; and (B) describing the sale process, including— (i) the loss mitigation or other protections available to the borrower and other owners of record both before and after the sale