California Civil Code

§ 1917.331

CIV § 1917.331Div. 3 · Title 4 · Part 4 · Ch. 7 · Art. 2

Statute text

(a)A shared appreciation loan for seniors shall include all of the following:

(1)The term of the loan shall be for an open-ended term, terminating upon the occurrence of a maturity event, or the failure of the borrower to meet the terms of a deed of trust granted by the borrower to the lender which are normally and customarily used by mortgage lenders in this state for loans secured by residential real property. However, if the maturity event is either cessation of occupancy of the property by the borrower or death of the borrower, the term shall be extended until the earlier of the sale or refinancing of the property or 12 months after the occurrence of the maturity event.

(2)An initial advance, if desired by the borrower.

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Legislative history

Amended by Stats. 1988, Ch. 1406, Sec. 3.