California Government Code

§ 20201

GOV § 20201 Effective Jan 1, 1999Div. 5 · Title 2 · Part 3 · Ch. 2 · Art. 6

Statute text

(a)It is the intent of the Legislature that the provisions of this section be available to assist members in obtaining homes throughout the United States. The Legislature intends that home loans made pursuant to Section 20200 and this section shall be secured primarily by the property acquired except as authorized pursuant to paragraph (1) of subdivision (b) and shall not exceed the fair market value of the property acquired.

(b)The board shall include in any program established pursuant to Section 20200 a procedure whereby a member may obtain 100-percent financing for the purchase of a single-family dwelling unit in accordance with the following criteria:

(1)The member shall obtain one loan with a loan-to-value ratio not to exceed 95 percent secured by the purchased home and a second personal loan with a loan-to-value ratio not to exceed 5 percent secured by a portion of the accumulated contributions and vested accrued benefits in the member’s individual account. A member can only have one outstanding personal loan.

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Legislative history

Amended by Stats. 1998, Ch. 678, Sec. 5. Effective January 1, 1999.