Effective 5/12/2015 57-28-202. Borrower requirements. A borrower shall: (1) be 62 years of age or older; and (2) occupy the dwelling that secures the reverse mortgage as a principal residence. Enacted by Chapter 290, 2015 General Session
Effective 5/12/2015 57-28-203. Disclosures to borrower. A lender shall give a prospective borrower or a borrower the following written disclosures: (1) at the time the lender provides an application for a reverse mortgage to a prospective borrower: (a) a disclosure that explains any adjustable interest rate feature of the reverse mortgage, including: (i) the circumstances […]
Effective 5/12/2015 57-28-204. Independent counseling. (1) Before a prospective borrower signs a reverse mortgage application, the prospective borrower shall meet with an independent housing counselor. (2) During the meeting described in Subsection (1): (a) the prospective borrower and the independent housing counselor shall discuss the financial impacts of a reverse mortgage, including: (i) options other […]
Effective 5/12/2015 57-28-205. Costs and repayment. A lender may collect the following charges and fees in connection with the origination of a reverse mortgage: (1) the actual expenses that the lender incurs in originating and closing the reverse mortgage, including a mortgage broker’s fee if the mortgage broker and the lender do not share any […]
Effective 5/12/2015 57-28-206. Disbursement. (1) Subject to Subsection (2) and except as provided in Subsection (3), a lender shall pay the loan proceeds of a reverse mortgage under a term payment option, a tenure payment option, or a line of credit payment option. (2) Under a term payment option or a tenure payment option, upon […]
Effective 5/12/2015 57-28-207. Cooling off period — Closing. (1) After a prospective borrower accepts, in writing, a lender’s written commitment to make a reverse mortgage, the lender may not bind the prospective borrower to the reverse mortgage earlier than seven days after the day on which the prospective borrower gives the written acceptance to the […]
Effective 5/12/2015 57-28-208. Federally insured reverse mortgages. When a lender makes a reverse mortgage that is federally insured by the United States Department of Housing and Urban Development, the lender satisfies the requirements described in Sections 57-28-202 through 57-28-206 if the lender complies with the federal requirements described in 12 U.S.C. Sec. 1715z-20 and 24 […]
