Effective 5/12/2015 57-28-302. Treatment of loan proceeds — Effect on assistance eligibility. For purposes of determining a borrower’s eligibility and benefits for a means-tested program of aid to individuals: (1) a reverse mortgage loan payment made to a borrower shall be treated as proceeds from a loan and not as income; and (2) undisbursed funds […]
Effective 5/12/2015 57-28-303. Priority. (1) All amounts secured by a reverse mortgage have the same lien priority as the first disbursement under the reverse mortgage. (2) For purposes of Subsection (1), the amount secured by the reverse mortgage includes any payment to the borrower from the loan proceeds, regardless of the purpose of the payment. […]
Effective 5/10/2016 57-28-304. Foreclosure. Before a person initiates foreclosure proceedings on a reverse mortgage, the person shall: (1) send the borrower, by certified mail, return receipt requested, written notice that states the grounds for default and foreclosure; and (2) provide the borrower at least 30 days after the day on which the person sends the […]
Effective 5/12/2015 57-28-305. Lender default. (1) A lender who fails to make a loan advance on a non-federally insured reverse mortgage in accordance with the reverse mortgage agreement shall forfeit any right to repayment of the outstanding loan balance. (2) After a lender forfeits the lender’s right to repayment under Subsection (1), the reverse mortgage […]
